REGISTERED NUMBER: 00279524 (England and Wales) |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
FOR |
J.BRAND LIMITED |
REGISTERED NUMBER: 00279524 (England and Wales) |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
FOR |
J.BRAND LIMITED |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Consolidated Statement of Income and Retained Earnings | 9 |
Consolidated Balance Sheet | 10 |
Company Balance Sheet | 11 |
Consolidated Cash Flow Statement | 12 |
Notes to the Consolidated Cash Flow Statement | 13 |
Notes to the Consolidated Financial Statements | 14 |
J.BRAND LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants |
and Statutory Auditors |
25 St Thomas Street |
Winchester |
Hampshire |
SO23 9HJ |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
The directors present their strategic report for the year ended 31 January 2023. |
REVIEW OF BUSINESS |
J. Brand Limited is a long-established service-based business enjoying more than 90 years of delivering first class service, mainly to repeat, long standing customers. |
Until now the core service deliveries of the business could be summarised as data cabling and network deployments, electrical contracting and maintenance services, Fire Alarm, EPOS, Wireless LAN, IP CCTV, digital signage and people counting solutions; always focusing on offering a complete service wrap from initial survey and design through to installation, commissioning and on-going field and telephone support. These services are delivered to a consistently high standard on a nationwide basis. |
The ''evolution'' of the business has always been driven by technology and a passion by the directors to continually add value to existing customers as well as developing new relationships. |
J. Brand continually evolves, diversifies, and embraces new technology with a specific focus on low energy, renewable energy and environmentally beneficial solutions while at the same time recognising the ever-increasing pressures for a demonstrable return on investment (ROI). |
To underpin J. Brand Limited's commitment to these areas, the business had developed two subsidiary businesses to ensure that each specific area received the relevant level of focus. |
Canopus Solutions Limited was established to focus on secure data destruction of end-of-life IT assets combined with recycling, refurbishing, remarketing and ethical disposal of the asset. The directors made the decision in 2021 that it was beneficial for J Brand Limited to be able to clearly demonstrate the full lifecycle solution including all related Data Destruction & IT Recycling related offerings as part of its own trading activities. The trade and net assets of Canopus Solutions were transferred to J Brand Limited on 1st November 2021 and Canopus Solutions Limited was formally dissolved in March 2023. |
Reflect Energy Limited was acquired in February 2012 as an established provider of low energy renewable solutions to the commercial market. The addition of Reflect Energy has meant that the J Brand Ltd Group can maximise the technical capabilities, project management skills and engineering resource of J Brand Ltd with the sales and marketing expertise of an established provider of low energy and renewable energy solutions. |
The Directors of the J Brand Limited group have made a deliberate and concentrated effort to develop the services of the group and invested significantly in all areas of the business to ensure that the group continues to deliver first class quality and service across all disciplines. |
J Brand Limited has continued to grow by "onboarding" new customers and delivering a wider portfolio of services to existing customers, all against a backdrop of global supply chain delays, particularly in the IT sector. |
RESULTS |
The group made a pre-tax profit of £161,485 (2022: £445,265) for the year on a turnover of £13,833,755 (2022: £12,016,233). |
At 31 January 2023 the group had net assets of £2,263,602 (2022: £2,353,900). |
PRINCIPAL RISKS AND UNCERTAINTIES |
The principal risks and uncertainties facing the group relate to the general uncertainty as to the level of economic activity going forward, the ability of the construction industry generally to raise funds for new projects and more specifically for the group to ensure that they minimise any risks from potential bad debt. |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
KEY PERFORMANCE INDICATORS |
In the opinion of the directors the key performance indicators of the group are turnover, operating profit, EBITDA and return on investment. These are monitored throughout the year by the Board of Directors. |
ON BEHALF OF THE BOARD: |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
The directors present their report with the financial statements of the company and the group for the year ended 31st January 2023. |
DIVIDENDS |
An interim dividend of £6 per share was paid on 31st March 2022. The directors recommend that no final dividend be paid. |
The total distribution of dividends for the year ended 31st January 2023 will be £ 240,000 . |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1st February 2022 to the date of this report. |
Other changes in directors holding office are as follows: |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
J.BRAND LIMITED |
Opinion |
We have audited the financial statements of J.Brand Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31st January 2023 which comprise the Consolidated Statement of Income and Retained Earnings, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, 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 group's and of the parent company affairs as at 31st January 2023 and of the group's 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. |
Basis for opinion |
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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group 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 |
In auditing the financial statements, we have concluded that the directors' 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 group's and the parent company'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 directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, 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 this gives rise to 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. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
J.BRAND LIMITED |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors 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 directors determine 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 directors are responsible for assessing the group's and the parent company'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 directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
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 a Report of the Auditors 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. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. |
We obtained an understanding of the legal and regulatory framework applicable to the company and the group via discussions with the directors and our previous knowledge of the company and group. This identified that the most significant laws and regulations relate to the form and content of the financial statements such as the UK Companies Act 2006 and Financial Reporting Standard 102. The company and group complies with these laws and regulations by using appropriately qualified professionals to prepare the financial statements. |
As part of our planning process we assessed susceptibility of the company's and group's financial statements to material misstatements, including how fraud might occur by making an assessment of the key risks. The key risks identified in respect of J Brand Limited and its subsidiaries are revenue recognition and the impact of performance targets on influencing management override. The directors confirmed no actual, suspected or alleged cases of fraud. |
Based on this assessment we designed our audit procedures to address these key risk areas with an emphasis on testing sales cut off, recognition of revenue and those areas susceptible to management override including testing manual journals and making enquiries of management. |
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 Report of the Auditors. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
J.BRAND LIMITED |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Chartered Accountants |
and Statutory Auditors |
25 St Thomas Street |
Winchester |
Hampshire |
SO23 9HJ |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
CONSOLIDATED STATEMENT OF INCOME AND RETAINED EARNINGS |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
2023 | 2022 |
Notes | £ | £ |
TURNOVER | 3 | 13,833,755 | 12,016,233 |
Cost of sales | 10,238,162 | 9,013,094 |
GROSS PROFIT | 3,595,593 | 3,003,139 |
Administrative expenses | 3,444,257 | 2,656,318 |
151,336 | 346,821 |
Other operating income | - | 98,220 |
OPERATING PROFIT | 5 | 151,336 | 445,041 |
Interest receivable and similar income | 10,149 | 224 |
PROFIT BEFORE TAXATION | 161,485 | 445,265 |
Tax on profit | 6 | 11,783 | 61,052 |
PROFIT FOR THE FINANCIAL YEAR |
Retained earnings at beginning of year | 1,941,510 | 1,697,297 |
Dividends | 8 | (240,000 | ) | (140,000 | ) |
RETAINED EARNINGS FOR THE GROUP AT END OF YEAR |
1,851,212 |
1,941,510 |
Profit attributable to: |
Owners of the parent | 149,702 | 384,213 |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
CONSOLIDATED BALANCE SHEET |
31ST JANUARY 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 9 | - | 2,161 |
Tangible assets | 10 | 213,162 | 199,766 |
Investments | 11 | - | - |
213,162 | 201,927 |
CURRENT ASSETS |
Stocks | 12 | 362,593 | 244,258 |
Debtors | 13 | 2,119,900 | 1,876,120 |
Cash at bank and in hand | 2,455,334 | 2,953,325 |
4,937,827 | 5,073,703 |
CREDITORS |
Amounts falling due within one year | 14 | 2,887,387 | 2,921,730 |
NET CURRENT ASSETS | 2,050,440 | 2,151,973 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
2,263,602 |
2,353,900 |
CAPITAL AND RESERVES |
Called up share capital | 16 | 40,000 | 40,000 |
Share premium | 17 | 360,000 | 360,000 |
Other reserves | 17 | 12,390 | 12,390 |
Retained earnings | 17 | 1,851,212 | 1,941,510 |
SHAREHOLDERS' FUNDS | 2,263,602 | 2,353,900 |
The financial statements were approved by the Board of Directors and authorised for issue on 25th October 2023 and were signed on its behalf by: |
R J G Lowe - Director |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
COMPANY BALANCE SHEET |
31ST JANUARY 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 9 |
Tangible assets | 10 |
Investments | 11 |
CURRENT ASSETS |
Stocks | 12 |
Debtors | 13 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 14 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 16 |
Share premium | 17 |
Other reserves | 17 |
Retained earnings | 17 |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 139,558 | 399,801 |
The financial statements were approved by the Board of Directors and authorised for issue on |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | (161,430 | ) | 969,358 |
Tax paid | (67,271 | ) | (55,786 | ) |
Taxation refund | 11,419 | 3,454 |
Net cash from operating activities | (217,282 | ) | 917,026 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (50,858 | ) | (93,240 | ) |
Interest received | 10,149 | 224 |
Net cash from investing activities | (40,709 | ) | (93,016 | ) |
Cash flows from financing activities |
Equity dividends paid | (240,000 | ) | (140,000 | ) |
Net cash from financing activities | (240,000 | ) | (140,000 | ) |
(Decrease)/increase in cash and cash equivalents | (497,991 | ) | 684,010 |
Cash and cash equivalents at beginning of year |
2 |
2,953,325 |
2,269,315 |
Cash and cash equivalents at end of year | 2 | 2,455,334 | 2,953,325 |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
£ | £ |
Profit before taxation | 161,485 | 445,265 |
Depreciation charges | 39,625 | 32,376 |
Finance income | (10,149 | ) | (224 | ) |
190,961 | 477,417 |
Increase in stocks | (118,335 | ) | (38,356 | ) |
(Increase)/decrease in trade and other debtors | (243,779 | ) | 336,220 |
Increase in trade and other creditors | 9,723 | 194,077 |
Cash generated from operations | (161,430 | ) | 969,358 |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31st January 2023 |
31.1.23 | 1.2.22 |
£ | £ |
Cash and cash equivalents | 2,455,334 | 2,953,325 |
Year ended 31st January 2022 |
31.1.22 | 1.2.21 |
£ | £ |
Cash and cash equivalents | 2,953,325 | 2,269,315 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.2.22 | Cash flow | At 31.1.23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 2,953,325 | (497,991 | ) | 2,455,334 |
2,953,325 | (497,991 | ) | 2,455,334 |
Total | 2,953,325 | (497,991 | ) | 2,455,334 |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
1. | STATUTORY INFORMATION |
J.Brand Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Basis of consolidation |
The consolidated profit and loss account and balance sheet include the financial statements of the company and its subsidiary undertakings made up to 31 January 2023. The results of the subsidiaries sold or acquired are included in the profit and loss account up to, or from the date control passes. Intra-group sales and profits are eliminated fully on consolidation. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Amounts received in advance are included in creditors as payments on account. |
Goodwill |
Acquired goodwill is written off in equal annual instalments over its estimated useful economic life of 10 years. |
Goodwill created on acquisition of a subsidiary is subject to annual impairment review. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended. |
Depreciation is provided on the following basis: |
Long leasehold - Straight line over the life of the lease |
Plant and machinery - 10% straight line |
Fixtures and fittings - Straight line over 5 - 10 years |
Motor vehicles - 25% straight line |
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. |
Stocks and work in progress |
Stock and work in progress are valued at the lower of cost and net realisable value. Cost includes all direct costs incurred in bringing the stocks to their present location and condition. |
The purchase cost of raw materials is calculated on a first in first out basis. The cost of work in progress includes an appropriate proportion of manufacturing overheads. Net realisable value is based on estimated selling price less further costs expected to be incurred to completion and disposal. |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
2. | ACCOUNTING POLICIES - continued |
Financial instruments |
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method 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. Financial assets classified as receivable within one year are not amortised. |
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
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. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
Judgements and estimation uncertainty |
The directors have made judgements in relation to whether there are any indicators of impairment of the company's tangible fixed assets. |
Estimation uncertainty relates to tangible fixed assets, turnover and values of work in progress. |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
3. | TURNOVER |
The total turnover of the group for the year has been derived from its principal activity wholly undertaken in the United Kingdom and Republic of Ireland. |
4. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries | 5,673,024 | 4,841,061 |
Social security costs | 634,014 | 521,101 |
Other pension costs | 191,917 | 189,728 |
6,498,955 | 5,551,890 |
The average number of employees during the year was as follows: |
2023 | 2022 |
Production | 124 | 118 |
Administration | 7 | 7 |
2023 | 2022 |
£ | £ |
Directors' remuneration | 749,739 | 399,162 |
Directors' pension contributions to money purchase schemes | 29,610 | 40,502 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 3 | 3 |
Information regarding the highest paid director is as follows: |
2023 | 2022 |
£ | £ |
Emoluments etc | 338,499 | 155,878 |
Pension contributions to money purchase schemes | - | 30,000 |
5. | OPERATING PROFIT |
The operating profit is stated after charging: |
2023 | 2022 |
£ | £ |
Other operating leases | 148,000 | 148,000 |
Depreciation - owned assets | 37,462 | 28,930 |
Goodwill amortisation | 2,161 | 3,447 |
Auditors' remuneration | 19,100 | 14,400 |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
6. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2023 | 2022 |
£ | £ |
Current tax: |
UK corporation tax | 11,783 | 61,052 |
Tax on profit | 11,783 | 61,052 |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
2023 | 2022 |
£ | £ |
Profit before tax | 161,485 | 445,265 |
Profit multiplied by the standard rate of corporation tax in the UK of 19 % (2022 - 19 %) |
30,682 |
84,600 |
Effects of: |
Expenses not deductible for tax purposes | (1,107 | ) | 5,146 |
Income not taxable for tax purposes | - | (10,374 | ) |
Capital allowances in excess of depreciation | (4,444 | ) | (8,111 | ) |
Utilisation of tax losses | (1,927 | ) | (3,991 | ) |
Adjustments to tax charge in respect of previous periods | (11,421 | ) | (6,218 | ) |
Total tax charge | 11,783 | 61,052 |
7. | INDIVIDUAL STATEMENT OF COMPREHENSIVE INCOME |
As permitted by Section 408 of the Companies Act 2006, the Statement of Comprehensive Income of the parent company is not presented as part of these financial statements. |
8. | DIVIDENDS |
2023 | 2022 |
£ | £ |
Interim | 240,000 | 140,000 |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
9. | INTANGIBLE FIXED ASSETS |
Group |
Goodwill |
£ |
COST |
At 1st February 2022 |
and 31st January 2023 | 155,453 |
AMORTISATION |
At 1st February 2022 | 153,292 |
Amortisation for year | 2,161 |
At 31st January 2023 | 155,453 |
NET BOOK VALUE |
At 31st January 2023 | - |
At 31st January 2022 | 2,161 |
Company |
Goodwill |
£ |
COST |
At 1st February 2022 |
and 31st January 2023 |
AMORTISATION |
At 1st February 2022 |
Amortisation for year |
At 31st January 2023 |
NET BOOK VALUE |
At 31st January 2023 |
At 31st January 2022 |
The goodwill was transferred from the company's subsidiary, Canopus Solutions Ltd. The goodwill relates to the acquisition of a trading business in 2014. |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
10. | TANGIBLE FIXED ASSETS |
Group |
Fixtures |
Long | Plant and | and | Motor |
leasehold | machinery | fittings | vehicles | Totals |
£ | £ | £ | £ | £ |
COST |
At 1st February 2022 | 80,908 | 75,043 | 236,210 | 3,295 | 395,456 |
Additions | - | - | 24,960 | 25,898 | 50,858 |
Disposals | - | - | (48,433 | ) | - | (48,433 | ) |
At 31st January 2023 | 80,908 | 75,043 | 212,737 | 29,193 | 397,881 |
DEPRECIATION |
At 1st February 2022 | 37,775 | 43,150 | 114,765 | - | 195,690 |
Charge for year | 7,349 | 7,504 | 20,386 | 2,223 | 37,462 |
Eliminated on disposal | - | - | (48,433 | ) | - | (48,433 | ) |
At 31st January 2023 | 45,124 | 50,654 | 86,718 | 2,223 | 184,719 |
NET BOOK VALUE |
At 31st January 2023 | 35,784 | 24,389 | 126,019 | 26,970 | 213,162 |
At 31st January 2022 | 43,133 | 31,893 | 121,445 | 3,295 | 199,766 |
Company |
Fixtures |
Long | Plant and | and | Motor |
leasehold | machinery | fittings | vehicles | Totals |
£ | £ | £ | £ | £ |
COST |
At 1st February 2022 |
Additions |
Disposals | ( |
) | ( |
) |
At 31st January 2023 |
DEPRECIATION |
At 1st February 2022 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
At 31st January 2023 |
NET BOOK VALUE |
At 31st January 2023 |
At 31st January 2022 |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
11. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1st February 2022 |
and 31st January 2023 |
PROVISIONS |
At 1st February 2022 |
and 31st January 2023 | 6 |
NET BOOK VALUE |
At 31st January 2023 |
At 31st January 2022 |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
Registered office: UK |
Nature of business: |
% |
Class of shares: | holding |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves |
Profit for the year |
The company ceased trading on 31st October 2021 and the trade and net assets were hived up to J Brand Limited at that date. The company was formally dissolved on 28th March 2023. |
Registered office: UK |
Nature of business: |
% |
Class of shares: | holding |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves |
Profit for the year |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
12. | STOCKS |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Raw materials | 17,360 | 24,182 |
Work-in-progress | 345,233 | 220,076 |
362,593 | 244,258 |
13. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Trade debtors | 1,927,410 | 1,688,018 |
Amounts owed by group undertakings | - | - |
Amounts owed by participating interests | 48,269 | 39,599 | 48,268 | 39,599 |
Other debtors | 4,539 | 4,525 |
Prepayments | 139,682 | 143,978 |
2,119,900 | 1,876,120 |
14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Payments on account | 278,351 | 250,918 |
Trade creditors | 616,333 | 960,249 |
Amounts owed to group undertakings | - | - |
Amounts owed to participating interests | 30,303 | 60,240 | 30,303 | 60,240 |
Tax | 23,296 | 67,362 |
Social security and other taxes | 158,500 | 187,048 |
VAT | 516,165 | 503,730 | 516,265 | 498,171 |
Other creditors | 98,914 | 83,708 |
Accruals and deferred income | 500 | - |
Accrued expenses | 1,165,025 | 808,475 |
2,887,387 | 2,921,730 |
15. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
Group |
Non-cancellable operating | leases |
2023 | 2022 |
£ | £ |
Within one year | 153,833 | 148,000 |
Between one and five years | 325,000 | 402,500 |
478,833 | 550,500 |
Company |
Non-cancellable operating | leases |
2023 | 2022 |
£ | £ |
Within one year |
Between one and five years |
16. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary shares | 1.00 | 40,000 | 40,000 |
Called-up share capital represents the nominal value of shares that have been issued. |
All ordinary shares rank pari passu. |
17. | RESERVES |
Group |
Retained | Share | Other |
earnings | premium | reserves | Totals |
£ | £ | £ | £ |
At 1st February 2022 | 1,941,510 | 360,000 | 12,390 | 2,313,900 |
Profit for the year | 149,702 | 149,702 |
Dividends | (240,000 | ) | (240,000 | ) |
At 31st January 2023 | 1,851,212 | 360,000 | 12,390 | 2,223,602 |
J.BRAND LIMITED (REGISTERED NUMBER: 00279524) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31ST JANUARY 2023 |
17. | RESERVES - continued |
Company |
Retained | Share | Other |
earnings | premium | reserves | Totals |
£ | £ | £ | £ |
At 1st February 2022 | 2,291,465 |
Profit for the year |
Dividends | ( |
) | ( |
) |
At 31st January 2023 | 2,191,023 |
18. | RELATED PARTY DISCLOSURES |
During the year, total dividends of £240,000 were paid to the directors . |
During the year the group was charged a management fee of £57,800 (2022: £57,800) by a company controlled by R G Lowe. At 31 January 2023, the group owes £30,303 (2022: £60,240) to the company. |
At the year end a company controlled by R G Lowe, owed £48,268 (2022: £39,119). |
Key management personnel include all statutory directors who together have authority and responsibility for planning, directing and controlling the activities of the group. The total compensation paid to key management personnel amounted to £779,349 (2022: £439,664). |
19. | ULTIMATE CONTROLLING PARTY |
The controlling party is R J G Lowe. |
20. | PENSION AND OTHER POST-RETIREMENT BENEFIT COMMITMENTS |
The group operates defined contribution pension schemes. The assets of the scheme are held separately from those of the group in independently administered funds. The pension cost charge represents contributions payable to the fund and amounted to £191,917 (2022: £189,728). |