Harlows Kidderminster LLP - LLP accounts 18.2

REGISTERED NUMBER: OC330392 (England and Wales)

Report of the Members and

Financial Statements for the Year Ended 30 June 2019

for

Harlows Kidderminster LLP

Page

General Information

1

Report of the Members

2

Report of the Independent Auditors

4

Income Statement

6

Balance Sheet

7

Notes to the Financial Statements

8

DESIGNATED MEMBERS:

M C Newton-Mason Limited

T R Blount Limited

Harlow Bros Holdings Ltd

T J Darby Limited

REGISTERED OFFICE:

c/o Harlow Bros Limited

Hathern Road

Long Whatton

Loughborough

Leicestershire

LE12 5DE

REGISTERED NUMBER:

OC330392 (England and Wales)

SENIOR STATUTORY AUDITOR:

Mr Christopher David Hutton FCCA

AUDITORS:

Charnwood Accountants & Business Advisors LLP

Statutory Auditor

The Point

Granite Way

Mountsorrel

Loughborough

Leicestershire

LE12 7TZ

The members present their report with the financial statements of the LLP for the year ended 30 June 2019.

PRINCIPAL ACTIVITY

The principal activity of the LLP in the year under review was that of timber merchants.

DESIGNATED MEMBERS

The designated members during the year under review were:

M C Newton-Mason Limited

T R Blount Limited

Harlow Bros Holdings Ltd

T J Darby Limited

RESULTS FOR THE YEAR AND ALLOCATION TO MEMBERS

The profit for the year before members' remuneration and profit shares was £938,090 (2018 - £677,713 profit).

MEMBERS' INTERESTS

Profits are allocated between the members in accordance with the partnership agreement, with any undrawn profits

included in loans and other debts due to members.

STATEMENT OF MEMBERS' RESPONSIBILITIES

The members are responsible for preparing the Report of the Members and the financial statements in accordance with

applicable law and regulations.

Legislation applicable to limited liability partnerships requires the members to prepare financial statements for each

financial year. Under that law the members have elected to prepare the financial statements in accordance with United

Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under

legislation applicable to limited liability partnerships the members 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 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;

The members are responsible for keeping adequate accounting records that are sufficient to show and explain the LLP's

transactions and 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 Companies Act 2006 as applied to LLPs by the Limited Liability

Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008. 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.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the members are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act

2006) of which the LLP's auditors are unaware, and each member has taken all the steps that he ought to have taken as a

member in order to make himself aware of any relevant audit information and to establish that the LLP's auditors are

aware of that information.

AUDITORS

The auditors, Charnwood Accountants & Business Advisors LLP, will be proposed for re-appointment at the

forthcoming Annual General Meeting.

ON BEHALF OF THE MEMBERS:

Harlow Bros Holdings Ltd - Designated member

20 March 2020

Opinion

We have audited the financial statements of Harlows Kidderminster LLP (the 'LLP') for the year ended 30 June 2019

which comprise the Income Statement, Balance Sheet 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 LLP's affairs as at 30 June 2019 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 LLPs by the Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008.

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 LLP 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

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to

you where:

-	the members' use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or

-

the members have not disclosed in the financial statements any identified material uncertainties that may cast
significant doubt about the LLP's ability to continue to adopt the going concern basis of accounting for a period of at
least twelve months from the date when the financial statements are authorised for issue.

Other information

The members are responsible for the other information. The other information comprises the information in the Report

of the Members, 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 there is a material misstatement in the financial

statements or a material misstatement of the other information. 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 where the Companies Act 2006 as applied to LLPs

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; or

-	the members were not entitled to prepare the financial statements in accordance with the small LLPs regime.

Responsibilities of members

As explained more fully in the Statement of Members' Responsibilities set out on page two, 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 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 LLP'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 LLP 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.

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.

Use of our report

This report is made solely to the LLP's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies

Act 2006 as applied to LLPs by the Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act

2006) Regulations 2008. Our audit work has been undertaken so that we might state to the LLP'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 LLP and the LLP's members as a body, for our

audit work, for this report, or for the opinions we have formed.

Mr Christopher David Hutton FCCA (Senior Statutory Auditor)

for and on behalf of Charnwood Accountants & Business Advisors LLP

Statutory Auditor

The Point

Granite Way

Mountsorrel

Loughborough

Leicestershire

LE12 7TZ

20 March 2020

TURNOVER

9,704,668

8,393,640

Cost of sales

7,537,967

6,436,825

GROSS PROFIT

2,166,701

1,956,815

Distribution costs

374,966

316,292

Administrative expenses

864,168

970,003

1,239,134

1,286,295

927,567

670,520

Other operating income

6,836

6,195

OPERATING PROFIT

934,403

676,715

Interest receivable and similar income

3,687

998

PROFIT FOR THE FINANCIAL YEAR
BEFORE MEMBERS' REMUNERATION
AND PROFIT SHARES AVAILABLE
FOR DISCRETIONARY DIVISION
AMONG MEMBERS

938,090

677,713

FIXED ASSETS

Tangible assets

4

425,847

428,583

CURRENT ASSETS

Stocks

1,318,431

1,459,245

Debtors

5

1,361,602

1,475,729

Cash at bank and in hand

1,107,769

963,570

3,787,802

3,898,544

CREDITORS

Amounts falling due within one year

6

1,898,680

2,055,734

NET CURRENT ASSETS

1,889,122

1,842,810

TOTAL ASSETS LESS CURRENT LIABILITIES

and

NET ASSETS ATTRIBUTABLE TO
MEMBERS

2,314,969

2,271,393

LOANS AND OTHER DEBTS DUE TO
MEMBERS

7

2,314,939

2,271,363

MEMBERS' OTHER INTERESTS

Capital accounts

30

2,314,969

2,271,393

TOTAL MEMBERS' INTERESTS

Loans and other debts due to members

7

2,314,939

2,271,363

Members' other interests

30

2,314,969

2,271,393

The financial statements have been prepared in accordance with the provisions applicable to LLPs subject to the small LLPs regime.

The financial statements were approved by the members of the LLP on 20 March 2020 and were signed by:

Harlow Bros Holdings Ltd - Designated member

1.	STATUTORY INFORMATION

Harlows Kidderminster LLP is registered in England and Wales. The LLP's registered number and registered

office address can be found on the General Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the requirements of the Statement of Recommended Practice, Accounting by Limited Liability Partnerships. The financial statements have been prepared under the historical cost convention.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates,

value added tax and other sales taxes.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Land and buildings

-

in accordance with the property

Plant and machinery etc

-

25% on cost, 20% on cost, 15% on cost and 10% on cost

Stocks

Stocks and work in progress are stated at the lower of cost and net realisable value. For work in progress and

finished goods manufactured by the partnership, cost is taken as production cost, which includes an appropriate

proportion of attributable overheads.,

Pension costs and other post-retirement benefits

Harlows Kidderminster LLP makes payments to a group personal pension scheme for certain employees.

Payments to this scheme are charged to the profit and loss account in the period in which thay are made.

3.	EMPLOYEE INFORMATION

The average number of employees during the year was 57 (2018 - 51 ) .

4.	TANGIBLE FIXED ASSETS

Plant and

Land and

machinery

buildings

etc

Totals

£

COST

At 1 July 2018

308,112

815,443

1,123,555

Additions

-

55,652

Disposals

-

(84,487

)

(84,487

)

At 30 June 2019

308,112

786,608

1,094,720

DEPRECIATION

At 1 July 2018

58,827

636,145

694,972

Charge for year

13,045

43,759

56,804

Eliminated on disposal

-

(82,903

)

(82,903

)

At 30 June 2019

71,872

597,001

668,873

NET BOOK VALUE

At 30 June 2019

236,240

189,607

425,847

At 30 June 2018

249,285

179,298

428,583

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

30.6.19

30.6.18

£

Trade debtors

1,237,074

1,365,143

Other debtors

124,528

110,586

1,361,602

1,475,729

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

30.6.19

30.6.18

£

Trade creditors

1,159,075

1,419,406

Amounts owed to group undertakings

290,653

189,033

Taxation and social security

355,844

362,991

Other creditors

93,108

84,304

1,898,680

2,055,734

7.

LOANS AND OTHER DEBTS DUE TO MEMBERS

The loans owed to members totalling £2,343,795 (2018 - £2,271,393) are unsecured and have no fixed

repayment date.

Amounts due to members would rank alongside ordinary unsecured creditors in the event of a winding up. There

is no protection afforded to unsecured creditors which is legally enforceable.

8.	ULTIMATE CONTROLLING PARTY

Harlows Kidderminster LLP is under the control of Harlow Bros Holdings Limited.