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Registered number: OC331570
STOWE FAMILY LAW LLP
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
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INFORMATION
Designated Members
Stowe Family Law Services Limited
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Spring Midco (SFL) Limited
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LLP registered number
OC331570
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Registered office
Clockwise Yorkshire House, Greek Street, Leeds, LS1 5SH
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Independent auditor
Grant Thornton UK LLP, 1st Floor, One Valpy, 20 Valpy Street, Reading, RG1 1AR
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CONTENTS
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Independent Auditor's Report
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Statement of Comprehensive Income
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Reconciliation of Members' Interests
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Notes to the Financial Statements
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STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2026
The members present the Strategic Report for the year ended 31 March 2026.
The entity is a Limited Liability Partnership (LLP). The principal activity of the LLP is the provision of family legal services across England and Wales; including divorce, financial and children related legal services.
Business review and key performance indicators (KPIs)
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2026 was a period of further investment, consolidation, and expansion for the business. The group (of which the LLP is a part of) remains the UK’s largest specialist family law practice whilst also entering into new partnership arrangements in Scotland and Australia.
The group ended the financial year up to 31 March 2026 with 109 (2025: 99) offices, and 267 (2025: 204) full time equivalent family lawyers.
The group’s data and research confirm that our clients value the opportunity to be supported within their communities by locally based specialist legal advisors. This validates our strategy of opening modest sized offices, close to where our target client base resides or work, staffed by local teams of family law specialists.
Our plan for next year is to continue to consolidate and grow, striving to support more families within the existing communities we serve while also serving more clients through new locations. We will also attract and develop more outstanding Stowe colleagues and continue to innovate in terms of service delivery.
Complementing our organic growth, the group has continued to make strategic acquisitions, adding Kee Solicitors, Unified Lawyers and the trade and assets of Hatton Family Law in the year (adding to the 4 acquisitions made in previous years). The group will continue to assess opportunities and build a pipeline of potential future partners.
From a trading perspective, net fee income of the underlying trading business for the 12 months to 31 March 2026 increased year on year to £57.9m (from £49.6m in 2025) by working on over 18,600 client files in the period (2025: 12,400).
The group’s continued expansion leveraged earlier investments in IT, case management, marketing and client care infrastructure. These investments are expected to continue to support the growth of revenue in 2026 and beyond.
The group continues to manage its working capital cycle very efficiently. The directors have reflected on quantum and timing of amounts payable relating to contingent consideration, these are anticipated to be funded via a combination of operating cashflow, existing facilities and external debt.
The directors remain satisfied that the underlying financial performance of the business remains strong, and the business is well placed to continue its strategy of striving to serve more families by supporting both new communities and delivering growth within existing communities.
Principal risks and uncertainties
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The principal risks and uncertainties within the group relate to the recoverability of amounts from clients and the carrying value of the intangibles.
As part of the group the interest arising from its financial instruments is repaid from operating cash of the LLP, the risk arises from the LLPs ability to meet the interest repayments.
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STOWE FAMILY LAW LLP
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2026
New business enquiries and chargeable activity have sustainably increased over the last 12 months. The group (of which the LLP is a part of) has continued to demonstrate its resilience and agility, including being able to operate effectively through challenging economic and social conditions, with its flexible approach to attracting new clients, resourcing and its property footprint.
Our plans for the business remain to continue to expand the group through opening offices in new locations, by maximising growth opportunities in our existing locations and by continuing to look for opportunities to innovate and change for the better. We will continue to assess our pipeline of inorganic opportunities and look at these to accelerate and compliment the organic growth strategy. The directors will continue to evolve Stowe’s client and colleague propositions to ensure that we continue to position ourselves as a group that delivers the best legal advice and client care to each of our clients, while attracting, developing, and retaining outstanding people who are aligned to our aspirations and values. During the year the group made a significant investment in its technology infrastructure. This investment will continue next year. The directors believe that this will be an important feature in the group's ability to meet client and colleague expectations and support ongoing growth.
Greenhouse gas emissions, energy consumption and energy efficiency action
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The LLP has taken the exemption available to subsidiary companies not to disclose information in respect of greenhouse gas emissions, energy consumption and energy efficiency action given this is disclosed in the consolidated financial statements of the ultimate parent company, Spring Topco (SFL) Limited.
This report was approved by the members and signed on their behalf.
Kenneth Fowlie
Director
Stowe Family Law Services Limited
Designated member
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MEMBERS' REPORT
FOR THE YEAR ENDED 31 MARCH 2026
The members present their annual report together with the audited financial statements of Stowe Family Law LLP (the "LLP") for the year ended 31 March 2026.
LLP's registered number
The registered number of the LLP is OC331570.
Principal activities and review of business
The principal activity of the LLP continued to be the provision of family law services.
Designated Members
Stowe Family Law Services Limited and Spring Midco (SFL) Limited were designated members of the LLP throughout the period.
Members' capital and interests
Under the terms of the members' agreement, profits are required to be allocated in full to members and therefore all profit is shown as members' remuneration charged as an expense and then forms part of amounts due to members on the Balance Sheet.
Policy on members' drawings
The members' drawing policy allows each member to draw a proportion of their profit share, subject to the cash requirements of the business.
Financial risk management
The group’s operations expose it to a variety of other financial risks including credit risk, liquidity risk, market and interest risk and investment risk which the company seeks to limit the adverse effect of. The directors set risk management policies which are implemented by the group’s management team. The group’s policy is to finance working capital through retained earnings, and through borrowings where necessary, and to finance the acquisition of subsidiaries through borrowings at either fixed interest rates or prevailing market interest rates.
Engagement with suppliers, customers and others
The group, alongside its competitors, is exposed to fluctuation in certain purchased materials and manages this risk, so far as is possible, by having long term relationships with key suppliers that aim to bring a high degree of stability and certainty to material costs. Our strategy also prioritises client experience and to achieve this we need to develop and maintain strong client relationships, this is achieved through regular communication and meetings, reviews, targeted marketing and the sharing of knowledge in formats such as our podcast channel Stowe Talks.
Engagement with employees
The group has continued its practice of keeping employees informed of matters affecting them as employees and the financial and economic factors affecting the performance of the business. This is achieved through regular business updates with all employees and regular engagement surveys.
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MEMBERS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2026
Disabled employees
Applications for employment by disabled people are given full and fair consideration for all vacancies in accordance with their particular aptitudes and abilities. In the event of employees becoming disabled, every effort is made to retrain where appropriate or make reasonable adjustments in the workplace in order that their employment with the group may continue.
Going concern
The group (of which the LLP is a part of) continues to meet its day to day working capital requirements through its own cash resources and the group has the additional benefit of a working capital facility with its bank to accommodate any unforeseen shifts in performance.
In this context the directors have considered the current macro economic uncertainties including the possibility of higher inflation, interest and tax rates, when preparing their going concern assessment. The directors have also considered the fact that the group has net current liabilities at 31 March 2026 which includes contingent consideration amounts expected to be payable at the end of the year ending 31 March 2027. These are anticipated by the directors to be funded via a combination of operating cashflow, existing committed facilities and new external debt as considered appropriate to the requirements of the group at the point the payments are due.
The group and company's forecasts and projections (for the period to 30 September 2027), taking into account reasonable changes in trading performance, show that the group and company should be able to operate within the level of its current resources and facilities.
This position gives the directors confidence that it is well placed to meet its interest payments on the external bank loans and continue to meet the associated covenants and navigate any further disruption in terms of the impact on trading results, its future order book, and most significantly, its committed and hard working Stowe team.
After making enquiries, the directors therefore have a reasonable expectation that the group and company have adequate resources to continue in operational existence for the foreseeable future, including at least twelve months from the date of approval of the financial statements.
Subsequent events
There have been no significant events affecting the LLP since the reporting date.
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MEMBERS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2026
Members' Responsibilities Statement
The members are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.
The Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008 (the 2008 Regulations) requires the members to prepare financial statements for each financial year. Under the law the members have elected to prepare financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland’. The financial statements are required by law to give a true and fair view of the state of affairs of the LLP and of the profit or loss of the LLP for that period. In preparing these financial statements, the members are required to:
∙select suitable accounting policies and then apply them consistently;
∙make judgements and accounting estimates that are reasonable and prudent;
∙state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the LLP will continue in business.
The members are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the LLP and enable them to ensure that the financial statements comply with the 2008 Regulations. They are also responsible for safeguarding the assets of the LLP and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Disclosure of information to auditor
The members confirm that:
∙so far as each member is aware, there is no relevant audit information of which the LLP's auditor is unaware; and
∙the members have taken all the steps that they ought to have taken as members in order to make themselves aware of any relevant audit information and to establish that the LLP's auditor is aware of that information.
Auditor
The auditor, Grant Thornton UK LLP, has indicated its willingness to continue in office. The Designated members will propose a motion re-appointing the auditor at a meeting of the members.
This report was approved by the members and signed on their behalf by:
Kenneth Fowlie
Director
Stowe Family Law Services Limited
Designated member
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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF STOWE FAMILY LAW LLP
We have audited the financial statements of Stowe Family Law LLP (the 'limited liability partnership') for the year ended 31 March 2026, which comprise the Statement of Comprehensive Income, the Balance Sheet, the Reconciliation of Members' Interests and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
In our opinion, the financial statements:
∙give a true and fair view of the state of the limited liability partnership's affairs as at 31 March 2026 and of its profit for the year then ended;
∙have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
∙have been prepared in accordance with the requirements of the Companies Act 2006 as applied to limited liability partnerships.
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the 'Auditor's responsibilities for the audit of the financial statements' section of our report. We are independent of the limited liability partnership in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
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We are responsible for concluding on the appropriateness of the members' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the limited liability partnership's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify the auditor’s opinion. Our conclusions are based on the audit evidence obtained up to the date of our report. However, future events or conditions may cause the limited liability partnership to cease to continue as a going concern.
In our evaluation of the members' conclusions, we considered the inherent risks associated with the limited liability partnership's business model including effects arising from macro-economic uncertainties such as interest rates and ongoing global conflicts, we assessed and challenged the reasonableness of estimates made by the members and the related disclosures and ongoing global conflicts and analysed how those risks might affect the limited liability partnership's financial resources or ability to continue operations over the going concern period.
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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF STOWE FAMILY LAW LLP (CONTINUED)
Conclusions relating to going concern (continued)
In auditing the financial statements, we have concluded that the members' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the limited liability partnership's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the members with respect to going concern are described in the relevant sections of this report.
The other information comprises the information included in the Annual Report, other than the financial statements and our Auditor's Report thereon. The members are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.
Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 as applied to limited liability partnerships requires us to report to you if, in our opinion:
∙adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
∙the financial statements are not in agreement with the accounting records and returns; or
∙we have not received all the information and explanations we require for our audit
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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF STOWE FAMILY LAW LLP (CONTINUED)
Responsibilities of members
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As explained more fully in the Members' Responsibilities Statement set out on page 5, the members are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the members determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the members are responsible for assessing the limited liability partnership's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the members either intend to liquidate the limited liability partnership or to cease operations, or have no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
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Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditor's Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below:
∙We obtained an understanding of the legal and regulatory frameworks that are applicable to the limited liability partnership and determined that the most significant are those that relate to the reporting frameworks (Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland and the Companies Act 2006) and the relevant tax compliance regulations in the jurisdictions in which the limited liability partnership operates together with the regulations under which the limited liability partnership operates as a firm of solicitors;
∙We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial and sector experience, through discussion with those charged with governance, and from inspection of legal and regulatory correspondence. We discussed the policies and procedures regarding compliance with laws and regulations with those charged with governance;
∙We assessed the susceptibility of the limited liability partnership’s financial statements to material misstatement, including how fraud might occur, by evaluating management’s incentives and opportunities of manipulation of the financial statements. We determined the principal risks were in relation to:
−Journal entries posted by senior finance personnel
−Potential management bias in determining accounting estimates especially in relation to the valuation of stock
−Transactions with related parties
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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF STOWE FAMILY LAW LLP (CONTINUED)
Auditor's responsibilities for the audit of the financial statements (continued)
∙Audit procedures performed by the engagement team included:
−Evaluation of the controls established to address the risks related to irregularities and fraud;
−Testing manual journal entries, in particular journal entries relating to management estimates and entries determined to be large or relating to unusual transactions;
−Identifying and testing related party transactions.
∙These audit procedures were designed to provide reasonable assurance that the financial statements were free from fraud or error. The risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error and detecting irregularities that result from fraud is inherently more difficult than detecting those that result from error, as fraud may involve collusion, deliberate concealment, forgery or intentional misrepresentations. Also, the further removed non-compliance with laws and regulations is from events and transactions reflected in the financial statements, the less likely we would become aware of it;
∙The engagement partner’s assessment of the appropriateness of the collective competence and capabilities of the engagement team including the consideration of the engagement team's understanding of, and practical experience with, audit engagements of a similar nature and complexity through appropriate training and participation and knowledge of the industry in which the limited liability partnership operates;
∙We communicated relevant laws and regulations and potential fraud risks to all engagement team members, including internal specialists, and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit; and
∙We gained an understanding of the limited liability partnership’s current activities, the scope of its authorisation and the effectiveness of its controlled environment as a regulated entity.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditor's Report.
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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF STOWE FAMILY LAW LLP (CONTINUED)
Use of our report
This report is made solely to the limited liability partnerships' members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006, as applied to limited liability partnerships. Our audit work has been undertaken so that we might state to the limited liability partnerships' members those matters we are required to state to them in an Auditor's Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the limited and the limited liability partnerships' members as a body, for our audit work, for this report, or for the opinions we have formed.
Andrew Wood
Senior Statutory Auditor
for and on behalf of Grant Thornton UK LLP
Statutory Auditor, Chartered Accountants
Reading
29 July 2026
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STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2026
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Depreciation and amortisation
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Interest receivable and similar income
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Interest payable and similar expenses
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Profit before members' remuneration and profit shares
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Members' remuneration charged as an expense
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Liability for payment of future profits to members
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Loss available for discretionary distribution
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There were no recognised gains and losses for 2026 or 2025 other than those included in the Statement of Comprehensive Income.
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There was no other comprehensive income for 2026 (2025: £Nil).
The liability for payment of future profits to members arises as the obligation to pay out all profits to members is a financial liability which has to be measured at fair value in accordance with section 12 of FRS102.
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The notes on pages 15 to 29 form part of these financial statements.
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BALANCE SHEET
AS AT 31 MARCH 2026
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Debtors: amounts falling due within one year
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Creditors: amounts falling due within one year
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Total assets less current liabilities
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Loans and other debts due to members within one year
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Members' capital classified as a liability
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Liability for future profits measure in line with FRS102 Section 12
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Loans and other debts due to members
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BALANCE SHEET (CONTINUED)
AS AT 31 MARCH 2026
The members' other interests arises as the obligation to pay out all profits to members is a financial liability which has to be measured at fair value in accordance with section 12 of FRS102.
The financial statements were approved and authorised for issue by the members and were signed on their behalf by:
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Director
Stowe Family Law Services Limited
Designated member
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The notes on pages 15 to 29 form part of these financial statements.
Stowe Family Law LLP has no equity and, in accordance with the provisions contained within the Statement of Recommended Practice "Accounting by Limited Liability Partnerships" (2018), has not presented a Statement of Changes in Equity.
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RECONCILIATION OF MEMBERS' INTERESTS
FOR THE YEAR ENDED 31 MARCH 2026
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DEBT
Loans and other debts due to members less any amounts due from members in debtors
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Members' capital (classified as debt)
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Liability for future profits measured in line with FRS102 Section 12
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Members' remuneration charged as an expense, including employment and retirement benefits cost
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Members' remuneration paid
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Liability for future profits measured in line with FRS102 Section 12
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Members' remuneration charged as an expense, including employment and retirement benefits cost
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Members' remuneration paid
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There are no existing restrictions or limitations which impact the ability of the members of the LLP to reduce the amount of Members' other interests.
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The notes on pages 15 to 29 form part of these financial statements.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
Stowe Family Law LLP is a limited liability partnership, incorporated in England and Wales. Its registered number is OC331570, and its registered head office is located at Clockwise Yorkshire House, Greek Street, Leeds, LS1 5SH.
2.Accounting policies
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Basis of preparation of financial statements
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The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006 and the requirements of the Statement of Recommended Practice "Accounting by Limited Liability Partnerships".
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the LLP's accounting policies (see note 3).
The LLP's functional and presentation currency is Sterling and all values are rounded to the nearest pound (£) except when otherwise stated.
The LLP is not required to present group accounts as it is included within the group accounts of Spring Topco (SFL) Limited which are available at Companies House. These financial statements therefore present information about the LLP as an individual undertaking and not about it as a group.
The following principal accounting policies have been applied:
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Exemption from preparing consolidated financial statements
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The LLP is a parent limited liability partnership that is also a subsidiary included in the consolidated financial statements of a larger group by a parent undertaking established under the law of any part of the United Kingdom and is therefore exempt from the requirement to prepare consolidated financial statements under section 400 of the Companies Act 2006.
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Financial Reporting Standard 102 - reduced disclosure exemptions
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The LLP has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
∙the requirements of Section 7 Statement of Cash Flows;
∙the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
∙the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
∙the requirements of Section 33 Related Party Disclosures paragraph 33.7.
This information is included in the consolidated financial statements of Spring Topco (SFL) Limited as at 31 March 2026 and these financial statements may be obtained from Clockwise Yorkshire House, Greek Street, Leeds, West Yorkshire, United Kingdom, LS1 5SH.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
2.Accounting policies (continued)
The group (of which the LLP is a part of) continues to meet its day to day working capital requirements through its own cash resources and the group has the additional benefit of a working capital facility with its bank to accommodate any unforeseen shifts in performance.
In this context the directors have considered the current macro economic uncertainties including the possibility of higher inflation, interest and tax rates, when preparing their going concern assessment. The directors have also considered the fact that the group has net current liabilities at 31 March 2026 which includes contingent consideration amounts expected to be payable at the end of the year ending 31 March 2027. These are anticipated by the directors to be funded via a combination of operating cashflow, existing committed facilities and new external debt as considered appropriate to the requirements of the group at the point the payments are due.
The group and company's forecasts and projections (for the period to 30 September 2027), taking into account reasonable changes in trading performance, show that the group and company should be able to operate within the level of its current resources and facilities.
This position gives the directors confidence that it is well placed to meet its interest payments on the external bank loans and continue to meet the associated covenants and navigate any further disruption in terms of the impact on trading results, its future order book, and most significantly, its committed and hard working Stowe team.
After making enquiries, the directors therefore have a reasonable expectation that the group and company have adequate resources to continue in operational existence for the foreseeable future, including at least twelve months from the date of approval of the financial statements.
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the LLP and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:
Rendering of services
Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
∙the amount of revenue can be measured reliably;
∙it is probable that the LLP will receive the consideration due under the contract;
∙the stage of completion of the contract at the end of the reporting period can be measured reliably; and
∙the costs incurred and the costs to complete the contract can be measured reliably.
Interest income is recognised in the Statement of Comprehensive Income using the effective interest method.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
2.Accounting policies (continued)
Finance costs are charged to the Statement of Comprehensive Income over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.
Defined contribution pension plan
The LLP operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the LLP pays fixed contributions into a separate entity. Once the contributions have been paid the LLP has no further payment obligations.
The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the LLP in independently administered funds.
Cash-settled share options are measured at fair value at the balance sheet date. The group recognises a liability at the balance sheet date based on the fair value, taking into account the estimated number of options that will actually vest and the current proportion of the vesting period that has lapsed. Changes in the fair value of this liability are recognised in the income statement.
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Division and distribution of profits
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A division of profits is the mechanism by which the profits of an LLP become a debt due to members. A division may be automatic or discretionary, may relate to some or all of the profits for a financial period and may take place during or after the end of a financial period.
An automatic division of profits is one where the LLP does not have an unconditional right to avoid making a division of an amount of profits based on the members' agreement in force at the time, whereas a discretionary division of profits requires a decision to be made by the LLP, which it has the unconditional right to avoid making.
The LLP divides profits automatically. Automatic divisions of profits are recognised as 'Members' remuneration charged as an expense' in the Statement of Comprehensive Income.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
2.Accounting policies (continued)
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.
All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.
Amortisation is provided on the following basis:
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Straight line over 3 years
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Straight line over 1 year
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Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives.
Depreciation is provided on the following basis:
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Long-term leasehold property
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Office fixtures fittings and equipment
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Over the lease term and 33% straight line
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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 disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of Comprehensive Income.
Investments in subsidiaries are measured at cost less accumulated impairment.
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Cash and cash equivalents
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Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
2.Accounting policies (continued)
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Operating leases: the LLP as lessee
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Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.
Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.
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Members' participation rights
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Members' participation rights are the rights of a member against the LLP that arise under the members' agreement (for example in respect of amounts subscribed or otherwise contributed, remuneration and profits).
Members' participation rights in the earnings or assets of the LLP are analysed between those that are either a financial liability or equity. A member's participation right results in a liability unless the right to any payment is discretionary on the part of an LLP.
Where profits are automatically divided as they arise, so the LLP does not have an unconditional right to refuse payment, the amounts arising that are due to members are in the nature of liabilities.
All amounts due to members that are classified as liabilities are presented in the Balance Sheet within "Loans and other debts due to members". Amounts due to members that are classified as equity are shown in the Balance Sheet within "Members' other interests". Amounts due from members are included in debtors. Loans and other debts due to members rank equally with debts due to ordinary creditors in the event of a winding up.
The LLP has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the LLP's Balance Sheet when the LLP becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.
Discounting is omitted where the effect of discounting is immaterial. The LLP's cash and cash equivalents, trade and most other debtors due within the operating cycle fall into this category of financial instruments.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
2.Accounting policies (continued)
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Financial instruments (continued)
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Impairment of financial assets
At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.
Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.
If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.
Basic financial liabilities
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 LLP after the deduction of all its liabilities.
Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.
Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.
Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.
Derecognition of financial assets
Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the LLP transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the LLP will continue to recognise the value of the portion of the risks and rewards retained.
Derecognition of financial liabilities
Financial liabilities are derecognised when the LLP's contractual obligations expire or are discharged or cancelled.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
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Judgements in applying accounting policies and key sources of estimation uncertainty
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The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates.
Estimates and underlying assumptions are reviewed on an ongoing basis. Estimates are based on historical experience and other assumptions that are considered reasonable in the circumstances. The actual amount or values may vary in certain instances from the assumptions and estimates made. Changes will be recorded, with corresponding effect in the financial statements, when, and if, better information is obtained.
Critical judgements and sources of estimation uncertainty that management have made in the process of applying accounting policies disclosed herein and that have a significant effect on the amounts recognised in the financial statements relate to the following:
Estimates
Goodwill (see note 11)
Goodwill and intangible assets on business combinations. The LLP established a reliable estimate of the useful life of goodwill and intangible assets arising on business combinations. This estimate is based on a variety of factors such as the expected use of the acquired business, the expected useful life of the cash generating units to which goodwill is attributed, any legal, regulatory or contractual provisions that can limit useful life and assumptions that market participants would consider in respect of similar businesses. Determining whether goodwill and intangible assets are impaired requires an estimation of the recoverable value, which represents the higher fair value and the value in use, of the relevant cash generating unit. Management has not identified any indicators of impairment to goodwill and intangible assets.
Liability for payment of future profit to members
A reliable estimate of this is calculated based on the discounted cashflows arising from the forecast trading of the LLP.
Judgements
In the process of preparing the financial statements, no significant judgements were applied.
Turnover is attributable to the provision of family law advice and closely related services; and is supplied wholly within the United Kingdom.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
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The operating profit is stated after charging:
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Amortisation of intangible fixed assets
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Depreciation of tangible fixed assets
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Operating leases - property
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Operating leases - equipment
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Fees payable to the LLP's auditor and its associates for the audit of the LLP's financial statements
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Fees payable to the LLP's auditor and its associates in respect of:
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Taxation compliance services
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Other services relating to taxation
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Corporate finance and transaction related services
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The above fees represent all amounts in relation to the Spring Topco (SFL) Limited group of companies.
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Share based payment scheme costs
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The share based payment scheme costs above have been calculated based on the number of shares expected to be granted to fund the ultimate cash settlement and the estimated fair value of these shares at the date they are expected to vest. The expected final vesting date is 30 September 2029.
The LLP operates a stakeholder defined contribution pension scheme for the benefit of the employees. The assets of the scheme are administered by an independent pensions provider.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
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Regional support and central functions
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Information in relation to members
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The average number of members during the year was
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LLP capital treated as debt - amounts introduced
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The amount of profit attributable to the member with the largest entitlement was
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Interest receivable and similar income
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Other interest receivable
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Interest payable and similar expenses
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
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Amortisation on intangible assets is charged to depreciation and amortisation.
On 13 June 2025 Stowe Family Law LLP acquired the trade and assets of Hatton Family Law for a total consideration of £160,907 settled in cash.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
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Long-term leasehold property
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Office fixtures fittings and equipment
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
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Investments in subsidiary companies
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The following were subsidiary undertakings of the LLP:
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Hawkins Family Law Limited
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Stowe Family Law Scotland Limited
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1 - Clockwise Yorkshire House, Greek Street, Leeds, England, LS1 5SH
2 - 146 West Regent Street, Glasgow, United Kingdom, G2 2RQ
On November 25th 2025 the company of Kee Solicitors was acquired by Stowe Family Law Scotland. Stowe Family Law LLP has 0% shareholding in Stowe Family Law Scotland but is a subsidiary of the group via control by virtue of a governance agreement and a corporate membership agreement.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
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Debtors: amounts falling due within one year
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Amounts recoverable on long-term contracts
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Amounts owed by group undertakings
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Prepayments and accrued income
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Amounts owed by group undertakings are non-interest bearing, unsecured and repayable on demand.
An impairment loss of £673,325 (2025: £580,239) was recognised against trade debtors.
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Creditors: amounts falling due within one year
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Amounts owed to group undertakings
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Other taxation and social security
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Accruals and deferred income
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Amounts owed to group undertakings are non-interest bearing, unsecured and repayable on demand.
Charge code OC33 1570 0003 dated 23 December 2024, held by Glas Trust Corporation Limited, contains a fixed charge, floating charge and negative pledge. This charge is in relation to the new debt in Spring Midco as part of the accessions deed.
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A stakeholder pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the LLP in an independently administered fund. The pension cost charge represents contributions payable by the entity to the fund and amounted to £1,143,970 (2025: £1,211,144). At the year end, there was £181,742 (2025: £161,730) due to be paid.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
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Commitments under operating leases
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At 31 March 2026 the LLP had future minimum lease payments due under non-cancellable operating leases for each of the following periods:
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Between two and five years
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Financial risk management
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The LLP has exposures to two main areas of financial risk - liquidity risk and customer credit exposure.
Liquidity risk
The objective of the LLP in managing liquidity risk is to ensure that it can meet its financial obligations as and when they fall due. The LLP expects to meet its financial obligations through operating cash flows. In the event that the operating cash flows would not cover all the financial obligations the LLP has credit facilities available to meet its commitments and obligations as they come due.
Client credit exposure
The LLP may offer credit terms to its clients which allow payment of the debt after delivery of the services. The LLP is at risk to the extent that a client may be unable to pay the debt on the specified due date. This risk is mitigated by the strong on-going client relationships and strong credit control.
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Related party transactions
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The LLP has taken advantage of the exemption allowed under Section 33.1a of FRS 102 'Related party disclosure' not to disclose transactions with other members that are wholly owned within the group.
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There have been no significant events affecting the LLP since the reporting date.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
At the Balance Sheet date the directors consider that Stowe Family Law Services Limited, a company incorporated and registered in England and Wales, as the immediate parent company.
At the Balance Sheet date the directors consider that Investcorp Holdings B.S.C. a company incorporated and registered in the Kingdom of Bahrain, is the ultimate parent company.
The smallest consolidated financial statements that include the results of the LLP are that headed by Spring Holdco (SFL) Limited.
The largest consolidated financial statements that include the results of the LLP are that headed by Spring Topco (SFL) Limited. These financial statements may be obtained from The Registrar of Companies, Companies House, Crown Way, Cardiff, CF14 3UZ.
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