Jack Brunsdon & Son Limited - Limited company accounts 20.1

REGISTERED NUMBER: 00818979 (England and Wales)

Jack Brunsdon & Son Limited

Report of the Directors and

Financial Statements for the Year Ended 31st December 2021

Page

Company Information

1

Report of the Directors

2

Independent Auditors' Report

4

Statement of Comprehensive Income

8

Balance Sheet

9

Statement of Changes in Equity

10

Notes to the Financial Statements

11

DIRECTORS:

M B Valsted

J Opitz

REGISTERED OFFICE:

The Old Mill

Blenheim Sawmills

Combe

Witney

Oxfordshire

OX29 8ET

REGISTERED NUMBER:

00818979 (England and Wales)

AUDITORS:

Smailes Goldie

Chartered Accountants

Statutory Auditor

Regent's Court

Princess Street

Hull

East Yorkshire

HU2 8BA

BANKERS:

Barclays Bank Plc

Leicester

Leicestershire

LE87 2BB

SOLICITORS:

Freeths LLP

5000 Oxford Business Park South

Oxford

OX4 2BH

The directors present their report with the financial statements of the company for the year ended 31st December 2021.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of installation of domestic windows and doors.

DIVIDENDS

No dividends will be distributed for the year ended 31st December 2021.

DIRECTORS

M B Valsted has held office during the whole of the period from 1st January 2021 to the date of this report.

Other changes in directors holding office are as follows:

J Opitz was appointed as a director after 31st December 2021 but prior to the date of this report.

A D Joergensen ceased to be a director after 31st December 2021 but prior to the date of this report.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing 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 of the profit or loss of the company 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 transactions and disclose with reasonable accuracy at any time the financial position of the company 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 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 directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Smailes Goldie, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

M B Valsted - Director

28th July 2022

Opinion

We have audited the financial statements of Jack Brunsdon & Son Limited (the 'company') for the year ended 31st December 2021 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity 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 company's affairs as at 31st December 2021 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.

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 company 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 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 Report of the Directors, but does not include the financial statements and our Auditors' Report 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 Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Report of the Directors has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in 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, 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

-	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; or

-	the directors were not entitled to take advantage of the small companies' exemption from the requirement to prepare a Strategic Report.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page two, 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 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 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 an Auditors' 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.

The extent to which the audit was considered capable of detecting irregularities including fraud

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, tax legislation, data protection, anti-bribery, employment, environmental and health and safety legislation. An understanding of these laws and regulations and the extent of compliance was obtained through discussion with management and inspecting legal and regulatory correspondence.

We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by making enquiries of management and considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

-

performed analytical procedures to identify any unusual or unexpected relationships;

-

tested journal entries to identify unusual transactions;

-

assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

-

investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

-

agreeing financial statement disclosures to underlying supporting documentation; and

-

enquiring of management as to actual and potential litigation and claims.

Due to 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. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission, or misrepresentation.

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 Auditors' Report.

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 an Auditors' 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 company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Luke Taylor Bsc (Hons) ACA (Senior Statutory Auditor)

for and on behalf of Smailes Goldie

Chartered Accountants

Statutory Auditor

Regent's Court

Princess Street

Hull

East Yorkshire

HU2 8BA

28th July 2022

TURNOVER

3,044,458

2,496,337

Cost of sales

2,173,748

1,678,294

GROSS PROFIT

870,710

818,043

Administrative expenses

723,395

741,235

OPERATING PROFIT and

PROFIT BEFORE TAXATION

147,315

76,808

Tax on profit

5

-

-

PROFIT FOR THE FINANCIAL YEAR

147,315

76,808

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

147,315

76,808

ASSETS

FIXED ASSETS

Tangible assets

6

37,669

40,649

CURRENT ASSETS

Stocks

7

183,074

200,157

Debtors

8

734,925

730,519

917,999

930,676

955,668

971,325

CAPITAL, RESERVES AND LIABILITIES

CAPITAL AND RESERVES

Called up share capital

9

17,240

17,240

Share premium

10

8,369

8,369

Retained earnings

10

(7,626,579

)

(7,773,894

)

SHAREHOLDERS' FUNDS

(7,600,970

)

(7,748,285

)

CREDITORS

11

8,556,638

8,719,610

955,668

971,325

The financial statements were approved by the Board of Directors and authorised for issue on 28th July 2022 and were signed on its behalf by:

M B Valsted - Director

Called up

share

Retained

Share

Total

capital

earnings

premium

equity

£

£

£

£

Balance at 1st January 2020

17,240

(7,850,702

)

8,369

(7,825,093

)

Changes in equity

Total comprehensive income

-

76,808

-

76,808

Balance at 31st December 2020

17,240

(7,773,894

)

8,369

(7,748,285

)

Changes in equity

Total comprehensive income

-

147,315

-

147,315

Balance at 31st December 2021

17,240

(7,626,579

)

8,369

(7,600,970

)

1.	STATUTORY INFORMATION

Jack Brunsdon & Son Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared in accordance with applicable accounting standards including Financial Reporting Standard 102 The financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The financial statements have been prepared under the historical cost convention, modified to include certain items at fair value.

The financial statements have been prepared on a going concern basis following representations given by Inwido AB, the immediate parent company of Inwido UK Limited, that it will provide the necessary financial support to enable the company to meet its financial obligations. This is also with due consideration to the COVID-19 pandemic.

The directors are confident that the company's relations with its customers and suppliers, and its current trading, leave the company well placed to manage its business risks successfully. The company's forecasts and projections backed by solid trading and market conditions shows that the company should be able to operate within the level of its current facilities for the foreseeable future. Thus they continue to adopt the going concern basis of accounting in preparing the annual financial statements.

The significant accounting policies applied in the preparation of these financial statements are set out below.

Financial reporting standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

•

the requirements of Section 7 Statement of Cash Flows;

•

the requirement of paragraph 3.17(d);

•

the requirement of paragraph 33.7.

Turnover

Turnover is measured at the fair value of the consideration received or receivable net of VAT and trade discounts. The policies adopted for the recognition of turnover are as follows:

Sale of goods

Turnover from the sale and install ation of window frames is recognised when significant risks and rewards of ownership of the goods have transferred to the buyer, the amount of turnover can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the company and the costs incurred or to be incurred in respect of the transaction can be measured reliably. This is usually on final installation.

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended. Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:

Plant and machinery

2-5 years

Fixtures and fittings

2-5 years

Motor vehicles

2-5 years

Government grants

Government grants receivable have been accounted for under the accrual model. The Coronavirus Job Retention Scheme (CJRS) grant has been recognised as income on a systematic basis over the periods in which the entity has recognised the related costs for which the grant is intended to compensate.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing stock to its present location and condition. Cost is calculated using the first-in, first-out formula. Provision is made for damaged, obsolete and slow-moving stock where appropriate.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the 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.

Leasing commitments

Assets acquired under finance leases are capitalised and depreciated over the shorter of the lease term and the expected useful life of the asset. Minimum lease payments are apportioned between the finance charge and the reduction of the outstanding lease liability using the effective interest method. The related obligations, net of future finance charges, are included in creditors.

Rentals payable and receivable under operating leases are charged to the profit and loss account on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Debtors and creditors receivable / payable within one year

Debtors and creditors with no stated interest rate and are receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in other administrative expenses.

3.	EMPLOYEES AND DIRECTORS

2021

2020

£

£

Wages and salaries

335,115

290,973

Social security costs

34,713

30,765

Other pension costs

9,549

9,854

379,377

331,592

The average number of employees during the year was as follows:

2021

2020

Installation

4

3

Administration

5

4

9

7

2021

2020

£

£

Directors' remuneration

-

-

4.	OPERATING PROFIT

The operating profit is stated after charging/(crediting):

2021

2020

£

£

Hire of plant and machinery

4,368

3,988

Other operating leases

61,958

84,156

Depreciation - owned assets

13,257

9,761

Loss on disposal of fixed assets

3,482

-

Auditors' remuneration

8,000

8,676

Foreign exchange differences

(2,349

)

(4,372

)

Government grants

-

(13,290

)

5.

TAXATION

Analysis of the tax charge

No liability to UK corporation tax arose for the year ended 31st December 2021 nor for the year ended 31st December 2020.

In the Spring Budget 2021, the Government announced that from 1st April 2023 the corporation tax rate will increase to 25%.

The company has tax losses of £3,868,006 to utilise against future trading profits.

6.	TANGIBLE FIXED ASSETS

Fixtures

Plant and

and

Motor

machinery

fittings

vehicles

Totals

£

£

£

£

COST

At 1st January 2021

195,654

70,437

20,905

286,996

Additions

3,703

10,056

-

13,759

Disposals

(3,585

)

(9,674

)

-

(13,259

)

At 31st December 2021

195,772

70,819

20,905

287,496

DEPRECIATION

At 1st January 2021

159,859

65,583

20,905

246,347

Charge for year

10,840

2,417

-

13,257

Eliminated on disposals

(2,807

)

(6,970

)

-

(9,777

)

At 31st December 2021

167,892

61,030

20,905

249,827

NET BOOK VALUE

At 31st December 2021

27,880

9,789

-

37,669

At 31st December 2020

35,795

4,854

-

40,649

7.

STOCKS

2021

2020

£

£

Stocks

10,625

10,625

Work-in-progress

172,449

189,532

183,074

200,157

8.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2021

2020

£

£

Trade debtors

54,174

95,768

Other debtors

523,800

529,175

Prepayments

156,951

105,576

734,925

730,519

9.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2021

2020

value:

£

£

15,098

'F' Ordinary

£1

15,098

15,098

2,142

'O' Ordinary

£1

2,142

2,142

17,240

17,240

10.

RESERVES

Retained

Share

earnings

premium

Totals

£

£

£

At 1st January 2021

(7,773,894

)

8,369

(7,765,525

)

Profit for the year

147,315

-

147,315

At 31st December 2021

(7,626,579

)

8,369

(7,618,210

)

Retained earnings

Retained earnings represents cumulative profits and losses net of dividends and other adjustments.

Share premium

The share premium reserve represents the premium arising on the issue of shares.

11.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2021

2020

£

£

Trade creditors

71,177

103,447

Amounts owed to group undertakings

7,482,390

7,478,627

Social security and other taxes

14,110

10,385

VAT

150,601

163,086

Other creditors

128,597

176,062

Deferred income

683,197

746,325

Accruals

26,566

41,678

8,556,638

8,719,610

12.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

2021

2020

£

£

Within one year

89,658

65,105

Between one and five years

231,576

249,063

In more than five years

94,375

94,375

415,609

408,543

13.	PENSION COMMITMENTS

Contributions by the company to defined contribution pension schemes for the year amounted to £9,549 (2020: £9,854). The amounts outstanding at the year end were £839 (2020: £888).

14.	RELATED PARTY DISCLOSURES

The company has taken advantage of the exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

15.	ULTIMATE PARENT COMPANY

The immediate parent company is Inwido UK Limited, a company incorporated in the United Kingdom. The ultimate parent company is Inwido AB, a public listed company incorporated in Sweden, these being the smallest and largest groups into which the company is consolidated. A copy of the ultimate parent company financial statements is available from the company's registered office at Engelbrektsgatan 15, SE-211 33 Malmo, Sweden.