Far Fillimore Care Homes Ltd. - Limited company accounts 18.1d

REGISTERED NUMBER: 04506423 (England and Wales)

STRATEGIC REPORT, REPORT OF THE DIRECTOR AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2018

FOR

FAR FILLIMORE CARE HOMES LTD.

Page

Company Information

1

Strategic Report

2

Report of the Director

3

Report of the Independent Auditors

5

Income Statement

7

Other Comprehensive Income

8

Balance Sheet

9

Statement of Changes in Equity

10

Cash Flow Statement

11

Notes to the Cash Flow Statement

12

Notes to the Financial Statements

13

DIRECTOR:

Mrs N Goel

SECRETARY:

C Goel

REGISTERED OFFICE:

Far Fillimore Rest Home

Wood Lane

Hanburry

Burton Upon Trent

Staffordshire

DE13 8TG

REGISTERED NUMBER:

04506423 (England and Wales)

SENIOR STATUTORY AUDITOR:

Muhammad Imran Ashraf

AUDITORS:

Agnon

Chartered Certified Accountants &

Registered Auditors

Kelvin House

Kelvin Way

Crawley

West Sussex

RH10 9WE

BANKERS:

Barclays Bank PLC

Queen Square

Wolverhampton

West Midlands

WV1 1DS

The director presents her strategic report for the year ended 31 March 2018.

The purpose of this report is to inform members and help them to assess how the director has performed her duties to

promote the success of the company.

REVIEW OF BUSINESS

The director aims to present a balanced and comprehensive review of the performance of the business during the year

under review and at the year end.

The principal activity of the company continued to be operation, acquisition and development of specialised care and

nursing homes.

The director considers that the key performance indicators for the business is occupancy and earnings before interest, tax

and depreciation.

PRINCIPAL RISKS AND UNCERTAINTIES

The management of the business and execution of our strategy are subject to number of risks. The following section

comprises a summary of the main risks which we believe could potentially impact upon our operating and financial

performance.

The company is exposed to price risk, credit risk and liquidity risk.

The company has limited exposure to price risk. The company's policy includes review and assessment of care plans,

identifying and managing the risk by entering into price negotiations with the local authority or other service users.

Foreign currency risk - The company has no exposure to foreign currency fluctuations.

Interest rate risk - The company has significant exposure to fluctuations in interest rates. The company has policies and

procedures in place to identify and manage such risk and in the current economic conditions the risk is considered

minimal.

Credit risk - The company's credit risk is minimal.

Liquidity and cashflow risk - The company ensures that there is availability of funding through committed facilities to

meet all of its operational requirements.

Legal - The company is subject to various legal and compliance regulations. The company takes this responsibility

seriously and ensures that its policies, systems and procedures are continually updated and comply with legal

requirements and best practice.

ON BEHALF OF THE BOARD:

C Goel - Secretary

5 November 2018

The director presents her report with the financial statements of the company for the year ended 31 March 2018.

DIVIDENDS

An interim dividend of £2,010 per share on the Ordinary A £1 shares was paid on 31 March 2018. The director recommends that no final dividend be paid on these shares.

No interim dividend was paid on the Ordinary B £1 shares. The director recommends that no final dividend be paid on

these shares.

The total distribution of dividends for the year ended 31 March 2018 will be £ 201,000 .

FUTURE DEVELOPMENTS

The director believes that the business's current revenue streams are secured and will continue for foreseeable future.

The company will continue investing heavily in its staff and upgrading of the care homes. The director believes this

investment is vital for the long term success of the business.

The director also believes business will be able to recover the money invested in upgrading the nursing homes by

increasing the charge rate in the future. The company has had successful negotiation in this regard with the customers.

DIRECTOR

Mrs N Goel held office during the whole of the period from 1 April 2017 to the date of this report.

POLITICAL DONATIONS AND EXPENDITURE

STATEMENT OF DIRECTOR'S RESPONSIBILITIES

The director is responsible for preparing the Strategic Report, the Report of the Director and the financial statements in

accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director

has 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 director must not approve

the financial statements unless she is 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 director is 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 director is 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 her to ensure that the financial statements comply with the Companies Act 2006. She is 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 director is 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 she has taken all the steps that she ought to have taken as a

director in order to make herself aware of any relevant audit information and to establish that the company's auditors are

aware of that information.

AUDITORS

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

ON BEHALF OF THE BOARD:

C Goel - Secretary

5 November 2018

Opinion

We have audited the financial statements of Far Fillimore Care Homes Ltd. (the 'company') for the year ended

31 March 2018 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of

Changes in Equity, Cash Flow Statement and Notes to the 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).

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.

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 March 2018 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

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

-

the director has not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the company'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 director is responsible for the other information. The other information comprises the information in the Strategic

Report and the Report of the Director, 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 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, 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.

Opinion 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 Strategic Report and the Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Director have 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 Strategic Report or the Report of the Director.

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 director's remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of director

As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is 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 director determines 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 director is 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 director either intends to liquidate the company or to cease operations, or has no realistic

alternative but to do so.

Our 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.

Muhammad Imran Ashraf (Senior Statutory Auditor)

for and on behalf of Agnon

Chartered Certified Accountants &

Registered Auditors

Kelvin House

Kelvin Way

Crawley

West Sussex

RH10 9WE

5 November 2018

TURNOVER

3,237,099

3,060,982

Administrative expenses

2,568,085

2,471,164

669,014

589,818

Other operating income

-

70

OPERATING PROFIT

4

669,014

589,888

Interest receivable and similar income

258

476

669,272

590,364

Interest payable and similar expenses

5

84,789

87,186

PROFIT BEFORE TAXATION

584,483

503,178

Tax on profit

6

126,645

90,926

PROFIT FOR THE FINANCIAL YEAR

457,838

412,252

PROFIT FOR THE YEAR

457,838

412,252

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

457,838

412,252

FIXED ASSETS

Intangible assets

8

-

-

Tangible assets

9

4,304,697

4,393,447

4,304,697

4,393,447

CURRENT ASSETS

Debtors

10

712,199

646,405

Cash at bank and in hand

580,580

520,779

1,292,779

1,167,184

CREDITORS

Amounts falling due within one year

11

722,220

674,861

NET CURRENT ASSETS

570,559

492,323

TOTAL ASSETS LESS CURRENT LIABILITIES

4,875,256

4,885,770

CREDITORS

Amounts falling due after more than one year

12

(3,178,941

)

(3,456,157

)

PROVISIONS FOR LIABILITIES

16

(99,216

)

(89,352

)

NET ASSETS

1,597,099

1,340,261

CAPITAL AND RESERVES

Called up share capital

17

200

200

Retained earnings

18

1,596,899

1,340,061

SHAREHOLDERS' FUNDS

1,597,099

1,340,261

The financial statements were approved by the director on 5 November 2018 and were signed by:

Mrs N Goel - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 April 2016

200

1,093,309

1,093,509

Changes in equity

Dividends

-

(165,500

)

(165,500

)

Total comprehensive income

-

412,252

412,252

Balance at 31 March 2017

200

1,340,061

1,340,261

Changes in equity

Dividends

-

(201,000

)

(201,000

)

Total comprehensive income

-

457,838

457,838

Balance at 31 March 2018

200

1,596,899

1,597,099

Cash flows from operating activities

Cash generated from operations

1

795,597

593,319

Interest paid

(84,789

)

(87,186

)

Tax paid

(102,575

)

(50,327

)

Net cash from operating activities

608,233

455,806

Cash flows from investing activities

Purchase of tangible fixed assets

(68,463

)

(355,744

)

Interest received

258

476

Net cash from investing activities

(68,205

)

(355,268

)

Cash flows from financing activities

New loans in year

-

307,137

Loan repayments in year

(279,238

)

(162,480

)

Amount introduced by directors

11

-

Amount withdrawn by directors

-

(75

)

Equity dividends paid

(201,000

)

(165,500

)

Net cash from financing activities

(480,227

)

(20,918

)

Increase in cash and cash equivalents

59,801

79,620

Cash and cash equivalents at beginning of year

2

520,779

441,159

Cash and cash equivalents at end of year

2

580,580

520,779

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

31.3.18

31.3.17

£

£

Profit before taxation

584,483

503,178

Depreciation charges

150,510

151,125

Loss on disposal of fixed assets

6,704

6,211

Finance costs

84,789

87,186

Finance income

(258

)

(476

)

826,228

747,224

Increase in trade and other debtors

(65,794

)

(82,368

)

Increase/(decrease) in trade and other creditors

35,163

(71,537

)

Cash generated from operations

795,597

593,319

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 31 March 2018

31.3.18

1.4.17

£

£

Cash and cash equivalents

580,580

520,779

Year ended 31 March 2017

31.3.17

1.4.16

£

£

Cash and cash equivalents

520,779

441,159

1.	STATUTORY INFORMATION

Far Fillimore Care Homes Ltd. 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

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" 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.

The total turnover of the company for the year has been derived from its principal activity wholly undertaken in

the UK.

Goodwill

Goodwill arises on business acquisitions and represents the excess of the cost of the acquisition over

the company's interest in the net amount of the identifiable assets, liabilities and contingent liabilities of

the acquired business.

Goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. It is

amortised on a straight line basis over its useful life. Where a reliable estimate of the useful life of

goodwill or intangible assets cannot be made, the life is presumed not to exceed five years.

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

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

-

15% on reducing balance

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.

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 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

31.3.18

31.3.17

£

£

Wages and salaries

1,636,882

1,581,180

Social security costs

96,184

88,527

Other pension costs

7,756

6,682

1,740,822

1,676,389

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

31.3.18

31.3.17

Director

1

1

Management and administration

9

10

Care operatives

112

112

122

123

31.3.18

31.3.17

£

£

Director's remuneration

6,600

6,600

4.	OPERATING PROFIT

The operating profit is stated after charging:

31.3.18

31.3.17

£

£

Hire of plant and machinery

1,673

-

Other operating leases

35,381

16,751

Depreciation - owned assets

150,509

145,292

Loss on disposal of fixed assets

6,704

6,211

Goodwill amortisation

-

5,833

Auditors' remuneration

3,500

3,500

5.

INTEREST PAYABLE AND SIMILAR EXPENSES

31.3.18

31.3.17

£

£

Bank loan interest

84,789

87,186

6.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

31.3.18

31.3.17

£

£

Current tax:

UK corporation tax

116,781

102,574

Corporation tax adjustment

-

(45,586

)

Total current tax

116,781

56,988

Deferred tax

9,864

33,938

Tax on profit

126,645

90,926

UK corporation tax has been charged at 19% (2017 - 20%).

Reconciliation of total tax charge included in profit and loss

The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is

explained below:

31.3.18

31.3.17

£

£

Profit before tax

584,483

503,178

Profit multiplied by the standard rate of corporation tax in the UK of 19% (2017 - 20%)

111,052

100,636

Effects of:

Expenses not deductible for tax purposes

242

267

Income not taxable for tax purposes

-

(14

)

Depreciation in excess of capital allowances

5,486

1,685

Adjustments in respect of prior periods

-

(45,586

)

Deferred tax

9,865

33,938

Total tax charge

126,645

90,926

7.

DIVIDENDS

31.3.18

31.3.17

£

£

Ordinary A shares of £1 each

Interim

201,000

165,500

8.	INTANGIBLE FIXED ASSETS

Goodwill

£

COST

At 1 April 2017

and 31 March 2018

182,000

AMORTISATION

At 1 April 2017

and 31 March 2018

182,000

NET BOOK VALUE

At 31 March 2018

-

At 31 March 2017

-

9.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

and

property

fittings

Totals

£

£

£

COST

At 1 April 2017

4,703,972

675,715

5,379,687

Additions

-

68,463

68,463

Disposals

-

(33,789

)

(33,789

)

At 31 March 2018

4,703,972

710,389

5,414,361

DEPRECIATION

At 1 April 2017

622,518

363,722

986,240

Charge for year

94,079

56,430

150,509

Eliminated on disposal

-

(27,085

)

(27,085

)

At 31 March 2018

716,597

393,067

1,109,664

NET BOOK VALUE

At 31 March 2018

3,987,375

317,322

4,304,697

At 31 March 2017

4,081,454

311,993

4,393,447

10.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.3.18

31.3.17

£

£

Trade debtors

110,609

82,056

Amount owed by connected

companies

600,440

563,199

Prepayments and accrued income

1,150

1,150

712,199

646,405

Other debtors include £600,440 (31 March 2017 - £563,199) in respect of a loan to a connected

company.