Kirklands Care Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 11263567 (England and Wales)

Financial Statements for the Year Ended 31 March 2021

for

Kirklands Care Limited

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

K Patel

J Patel

A Patel

REGISTERED OFFICE:

238 Station Road

Addlestone

KT15 2PS

REGISTERED NUMBER:

11263567 (England and Wales)

ACCOUNTANTS:

CSL Partnership Limited

Chartered Certified Accountants

238 Station Road

Addlestone

Surrey

KT15 2PS

FIXED ASSETS

Intangible assets

4

87,500

92,500

Tangible assets

5

6,768,044

3,320,823

Investments

6

1,521,366

-

8,376,910

3,413,323

CURRENT ASSETS

Stocks

4,000

4,000

Debtors

7

201,927

25,034

Cash at bank and in hand

441,004

601,766

646,931

630,800

CREDITORS

Amounts falling due within one year

8

(651,776

)

(239,419

)

NET CURRENT (LIABILITIES)/ASSETS

(4,845

)

391,381

TOTAL ASSETS LESS CURRENT LIABILITIES

8,372,065

3,804,704

CREDITORS

Amounts falling due after more than one year

9

(7,625,619

)

(3,400,000

)

PROVISIONS FOR LIABILITIES

(33,958

)

(14,516

)

NET ASSETS

712,488

390,188

CAPITAL AND RESERVES

Called up share capital

100

100

Retained earnings

712,388

390,088

SHAREHOLDERS' FUNDS

712,488

390,188

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2021.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2021 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

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

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 22 December 2021 and were signed on its behalf by:

J Patel - Director

1.	STATUTORY INFORMATION

Kirklands Care 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.

The presentation currency of the financial statements is the Pound Sterling (£).

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 Companies Act 2006. 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.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of businesses is 2018 and 2019, is being amortised evenly over its estimated useful life of ten years.

Tangible fixed assets

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

Freehold property

-

2% on cost

Fixtures and fittings

-

25% on reducing balance

Government grants

The accruals model is used in accounting for Government grants.

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Financial instruments

Financial assets and liabilities are recognised when the company becomes party to the contractual provisions of the financial instrument. The company holds basic financial instruments, which comprise cash at bank and in hand, trade and other debtors and trade and other creditors. The company has chosen to apply the measurement and recognition provisions of FRS 102 Section 11 'Basic Financial Instruments' and section 12 'Other financial Instruments Issues' in full.

Trade and other debtors

Trade and other debtors are initially recognised at the transaction price, including any transaction costs, and are subsequently measured at amortised cost using the effective interest method, less any provision for impairment.

Amounts that are receivable within one year are measured at the undiscounted amount of the amount expected to be receivable net of any impairment. Where a financial asset constitutes a financing transaction it is initially measured at the present value of the future payments, discounted at a market rate of interest.

At each reporting date, the company assesses whether there is objective evidence that any financial asset amount may be impaired. A provision for impairment is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the financial assets. The amount of the provision is the difference between the asset's carrying amount and the present value of the estimated future cashflows. The amount of the provision is recognised immediately in the income statement.

Trade creditors and other creditors

Trade and other creditors are initially measured at the transaction price, including any transaction costs, and are subsequently measured at amortised cost using this effective interest method.

Amounts that are payable within one year are measured at the undiscounted amount of the amount expected to be payable.

Where a financial liability constitutes a financing transaction it is initially and subsequently measured at the present value of the future payments discounted at a market rate of interest.

Taxation

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

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.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 102 (2020 - 88 ) .

4.	INTANGIBLE FIXED ASSETS

Goodwill

£

COST

At 1 April 2020

and 31 March 2021

100,000

AMORTISATION

At 1 April 2020

7,500

Charge for year

5,000

At 31 March 2021

12,500

NET BOOK VALUE

At 31 March 2021

87,500

At 31 March 2020

92,500

5.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

and

property

fittings

Totals

£

£

£

COST

At 1 April 2020

3,318,045

93,329

3,411,374

Additions

3,390,680

135,360

3,526,040

At 31 March 2021

6,708,725

228,689

6,937,414

DEPRECIATION

At 1 April 2020

73,622

16,929

90,551

Charge for year

45,783

33,036

78,819

At 31 March 2021

119,405

49,965

169,370

NET BOOK VALUE

At 31 March 2021

6,589,320

178,724

6,768,044

At 31 March 2020

3,244,423

76,400

3,320,823

Included in the cost of freehold property is freehold land of £3,578,000 (2020 - £1,800,000) which is not depreciated.

6.	FIXED ASSET INVESTMENTS

Shares in

group

undertakings

£

COST

Additions

1,521,366

At 31 March 2021

1,521,366

NET BOOK VALUE

At 31 March 2021

1,521,366

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.3.21

31.3.20

£

£

Trade debtors

21,152

6,448

Amounts owed by group undertakings

50,000

-

Other debtors

59,229

1,992

Prepayments

71,546

16,594

201,927

25,034

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.3.21

31.3.20

£

£

Bank loans and overdrafts

251,701

-

Trade creditors

75,634

25,277

Tax

68,245

75,173

Social security and other taxes

25,788

21,009

Other creditors

113,480

61,359

Accruals and deferred income

116,928

56,601

651,776

239,419

9.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.3.21

31.3.20

£

£

Bank loans - 1-2 years

260,157

-

Bank loans - 2-5 years

831,209

-

Bank loans more than 5 years

3,134,253

-

Other loans - 1-2 years

3,400,000

3,400,000

7,625,619

3,400,000

Amounts falling due in more than five years:

Repayable by instalments

Bank loans more than 5 years

3,134,253

-

10.	SECURED DEBTS

The following secured debts are included within creditors:

31.3.21

31.3.20

£

£

Bank loans

4,477,320

-

Other loans

3,400,000

3,400,000

7,877,320

3,400,000

The loans are secured by way of charges over the group's freehold property as well as a fixed and floating charge over the company's assets.

11.	RELATED PARTY DISCLOSURES

At the year end the company was owed £50,000 (2020 - £NIL) by Kirklands Healthcare Limited, a 100% subsidiary of Kirklands Care Limited.

At the balance sheet date, the company owed Wisteria Investments Limited £3,400,000 which falls due to be repaid in June 2024. Interest is payable at 5% above the Bank of England base rate but only if an interest notice is issued by the lender. Security in the form of a charge over one of the company's freehold property has been pledged.

All of the directors of the company are beneficiaries of the trust which owns Wisteria Investments Limited.