Caseware UK (AP4) 2022.0.179 2022.0.179 2023-02-282023-02-28557falsefalseThe principal activities of the company are a nursing and care recruitment agency.2022-03-01920false 06107910 2022-03-01 2023-02-28 06107910 2021-03-01 2022-02-28 06107910 2023-02-28 06107910 2022-02-28 06107910 2021-03-01 06107910 4 2022-03-01 2023-02-28 06107910 4 2021-03-01 2022-02-28 06107910 5 2022-03-01 2023-02-28 06107910 5 2021-03-01 2022-02-28 06107910 7 2022-03-01 2023-02-28 06107910 7 2021-03-01 2022-02-28 06107910 d:CompanySecretary1 2022-03-01 2023-02-28 06107910 d:Director1 2022-03-01 2023-02-28 06107910 d:Director2 2022-03-01 2023-02-28 06107910 d:RegisteredOffice 2022-03-01 2023-02-28 06107910 e:FurnitureFittings 2022-03-01 2023-02-28 06107910 e:FurnitureFittings 2023-02-28 06107910 e:FurnitureFittings 2022-02-28 06107910 e:FurnitureFittings e:OwnedOrFreeholdAssets 2022-03-01 2023-02-28 06107910 e:ComputerEquipment 2022-03-01 2023-02-28 06107910 e:ComputerEquipment 2023-02-28 06107910 e:ComputerEquipment 2022-02-28 06107910 e:ComputerEquipment e:OwnedOrFreeholdAssets 2022-03-01 2023-02-28 06107910 e:OwnedOrFreeholdAssets 2022-03-01 2023-02-28 06107910 e:CurrentFinancialInstruments 2023-02-28 06107910 e:CurrentFinancialInstruments 2022-02-28 06107910 e:CurrentFinancialInstruments 1 2023-02-28 06107910 e:CurrentFinancialInstruments 1 2022-02-28 06107910 e:CurrentFinancialInstruments e:WithinOneYear 2023-02-28 06107910 e:CurrentFinancialInstruments e:WithinOneYear 2022-02-28 06107910 e:ReportableOperatingSegment1 2022-03-01 2023-02-28 06107910 e:ReportableOperatingSegment1 2021-03-01 2022-02-28 06107910 e:ReportableOperatingSegment2 2022-03-01 2023-02-28 06107910 e:ReportableOperatingSegment2 2021-03-01 2022-02-28 06107910 e:ReportableOperatingSegment3 2022-03-01 2023-02-28 06107910 e:ReportableOperatingSegment3 2021-03-01 2022-02-28 06107910 e:ReportableOperatingSegment5 2022-03-01 2023-02-28 06107910 e:ReportableOperatingSegment5 2021-03-01 2022-02-28 06107910 f:UnitedKingdom 2022-03-01 2023-02-28 06107910 f:UnitedKingdom 2021-03-01 2022-02-28 06107910 e:UKTax 2022-03-01 2023-02-28 06107910 e:UKTax 2021-03-01 2022-02-28 06107910 e:ShareCapital 2023-02-28 06107910 e:ShareCapital 2022-02-28 06107910 e:ShareCapital 2021-03-01 06107910 e:RetainedEarningsAccumulatedLosses 2022-03-01 2023-02-28 06107910 e:RetainedEarningsAccumulatedLosses 2023-02-28 06107910 e:RetainedEarningsAccumulatedLosses 2021-03-01 2022-02-28 06107910 e:RetainedEarningsAccumulatedLosses 2022-02-28 06107910 e:RetainedEarningsAccumulatedLosses 2021-03-01 06107910 e:FinancialAssetsDesignatedFairValueThroughProfitOrLoss 2023-02-28 06107910 e:FinancialAssetsDesignatedFairValueThroughProfitOrLoss 2022-02-28 06107910 e:AcceleratedTaxDepreciationDeferredTax 2023-02-28 06107910 e:AcceleratedTaxDepreciationDeferredTax 2022-02-28 06107910 d:OrdinaryShareClass1 2022-03-01 2023-02-28 06107910 d:OrdinaryShareClass1 2023-02-28 06107910 d:OrdinaryShareClass1 2022-02-28 06107910 d:FRS102 2022-03-01 2023-02-28 06107910 d:Audited 2022-03-01 2023-02-28 06107910 d:FullAccounts 2022-03-01 2023-02-28 06107910 d:PrivateLimitedCompanyLtd 2022-03-01 2023-02-28 06107910 e:WithinOneYear 2023-02-28 06107910 e:WithinOneYear 2022-02-28 06107910 e:BetweenOneFiveYears 2023-02-28 06107910 e:BetweenOneFiveYears 2022-02-28 06107910 2 2022-03-01 2023-02-28 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 06107910










PRIMARY CARE RECRUITMENT LTD










ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 28 FEBRUARY 2023

 
PRIMARY CARE RECRUITMENT LTD
 
 
COMPANY INFORMATION


Directors
B J Wood 
J E Wood 




Company secretary
J E Wood



Registered number
06107910



Registered office
10 Lansdowne Terrace
Gosforth

Newcastle upon Tyne

Tyne & Wear

NE3 1HN




Independent auditors
Ryecroft Glenton
Chartered Accountants & Statutory Auditors

32 Portland Terrace

Newcastle upon Tyne

Tyne & Wear

NE2 1QP





 
PRIMARY CARE RECRUITMENT LTD
 

CONTENTS



Page
Strategic Report
1
Directors' Report
2 - 3
Independent Auditors' Report
4 - 7
Statement of Comprehensive Income
8
Balance Sheet
9
Statement of Changes in Equity
10
Statement of Cash Flows
11
Analysis of Net Debt
12
Notes to the Financial Statements
13 - 26

 
PRIMARY CARE RECRUITMENT LTD
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 28 FEBRUARY 2023

The directors present the strategic report for the year ended 28 February 2023.

Principal activity
 
The principal activities of the company are a nursing and care recruitment agency.

Fair view of the business
 
The Company made a profit of £1,983,007 for the year (2022 - £2,197,060).
The business has increased turnover over the last year with a growth in turnover of 45%. However the Company saw margins reduce over the period, due to competition and the increased employment costs.
The Balance sheet on page 9 of the Financial Statements shows the Company’s financial position at the year end increase by 66.7% (2022 - 28.3%)

Principal risks and uncertainties
 
There is uncertainty as to the level of supply required by the National Health Service. The Company does however work closely with all Local NHS trusts through the dedicated frameworks to ensure they are a Tier 1 supplier.
The directors also regularly monitor the finanial information to ensure that any cash flow risks are considered in a timely basis. To mitigate against the threat of cash flow risk, the Company utilise an invoice discounting facility.

Key performance indicators
 
All data used in the Key Performance Indicators is derived from the Company’s financial statements. The performance during the year has been measured by management and directors using the following KPI’s:
Gross profit margin 19.0% (2022 - 26.7%) and operating profit margin 12.9% (21.0%). In addition to margins, management and the directors also monitor EBITDA, which stood at £2,458,040 (2022 - £2,756,370). The movements in these are explained above under fair view of the business.

Future developments

The Company has increased the number of customers and areas of expertise over the year and this is expected to continue in the months ahead.


This report was approved by the board on 16 October 2023 and signed on its behalf.



J E Wood
Director
Page 1

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 28 FEBRUARY 2023

The directors present their report and the financial statements for the year ended 28 February 2023.

Results and dividends

The profit for the year, after taxation, amounted to £1,983,007 (2022 - £2,197,060).

Dividends were paid during the year of £1,200,000 (2022 - £1,330,605). No final dividend is recommended. 

Directors

The directors who served during the year were:

B J Wood 
J E Wood 

Directors' responsibilities statement

The directors are responsible for preparing the Strategic Report, the Directors' Report 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Company's financial statements 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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Engagement with employees

The company's policy is to consult and discuss with employees matters likely to affect employees' interests.
Information about matters of concern to employees is given through information bulletins and reports which seek to achieve a common awareness on the part of all employees of the financial and economic factors affecting the Company's performance.

Page 2

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Post balance sheet events

There have been no significant events affecting the Company since the year end.

Auditors

The auditorsRyecroft Glentonwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 16 October 2023 and signed on its behalf.
 





J E Wood
Director
Page 3

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF PRIMARY CARE RECRUITMENT LTD
 

Opinion


We have audited the financial statements of Primary Care Recruitment Ltd (the 'Company') for the year ended 28 February 2023, which comprise the Statement of Comprehensive Income, the Balance Sheet, the Statement of Cash Flows, the Statement of Changes in Equity and the related notes, including a summary of significant accounting policiesThe 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 28 February 2023 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 United Kingdom, including the Financial Reporting Council'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.


Page 4

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF PRIMARY CARE RECRUITMENT LTD (CONTINUED)


Other information


The other information comprises the information included in the Annual Report other than the financial statements and  our Auditors' Report thereon.  The directors are responsible for the other information contained within the Annual Report.  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. 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 course of 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.


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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Strategic Report and the Directors' Report 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 Directors' Report.


We have nothing to report in respect of the following matters in relation to which 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.


Responsibilities of directors
 

As explained more fully in the Directors' Responsibilities Statement set out on page 2, 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 is 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.


Page 5

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF PRIMARY CARE RECRUITMENT LTD (CONTINUED)


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
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

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 as follows:

the engagement partner ensured that the engagement team collectively had the appropriate competence,  capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
we identified the laws and regulations applicable to the Company through discussions with directors and other management, and from our commercial knowledge and experience of the waste to energy sector;
we 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;
we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
we ensured that the identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

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 as to where they considered there was susceptibility to fraud and their knowledge of actual, suspected and alleged fraud; 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; and
assessed whether judgements and assumptions made in determining the accounting estimates set out in Note 3 were indicative of potential bias.

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;
reading the minutes of meetings of those charged with governance;
enquiring of management as to actual and potential litigation and claims;
reviewing correspondence with HMRC, relevant regulators and the Company’s legal advisors; and
Page 6

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF PRIMARY CARE RECRUITMENT LTD (CONTINUED)


reviewing reports and correspondence from regulators, and following up with those responsible as to how any matters arising have been dealt with and resolved.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware 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.
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.


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.


Other matters 
 

The corresponding figures relating to the year ended 28 February 2022 in these financial statements were not subject to audit, due to the company being able to take exemption from audit. We have, however, obtained sufficient and appropriate audit evidence that the opening balances do not contain misstatements that materially affect the current period's financial statements.


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 2006Our 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.





Grahame Maughan (Senior Statutory Auditor)
  
for and on behalf of
Ryecroft Glenton
 
Chartered Accountants
Statutory Auditors
  
32 Portland Terrace
Newcastle upon Tyne
Tyne & Wear
NE2 1QP

16 October 2023
Page 7

 
PRIMARY CARE RECRUITMENT LTD
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 28 FEBRUARY 2023

2023
2022
Note
£
£

  

Turnover
 4 
18,930,667
13,090,415

Cost of sales
  
(15,333,644)
(9,592,654)

Gross profit
  
3,597,023
3,497,761

Administrative expenses
  
(1,151,213)
(780,709)

Other operating income
 5 
-
27,844

Operating profit
 6 
2,445,810
2,744,896

Interest receivable and similar income
 10 
6,144
697

Interest payable and similar expenses
 11 
-
(29,439)

Profit before tax
  
2,451,954
2,716,154

Tax on profit
 12 
(468,947)
(519,094)

Profit for the financial year
  
1,983,007
2,197,060

Other comprehensive income for the year
  

Total comprehensive income for the year
  
1,983,007
2,197,060

The notes on pages 13 to 26 form part of these financial statements.
Page 8

 
PRIMARY CARE RECRUITMENT LTD
REGISTERED NUMBER: 06107910

BALANCE SHEET
AS AT 28 FEBRUARY 2023

2023
2022
Note
£
£

Fixed assets
  

Tangible assets
 14 
21,507
20,271

  
21,507
20,271

Current assets
  

Debtors: amounts falling due within one year
 15 
3,610,430
1,960,994

Cash at bank and in hand
 16 
337,569
927,139

  
3,947,999
2,888,133

Creditors: amounts falling due within one year
 17 
(2,009,246)
(1,730,922)

Net current assets
  
 
 
1,938,753
 
 
1,157,211

Total assets less current liabilities
  
1,960,260
1,177,482

Provisions for liabilities
  

Deferred tax
 19 
(4,604)
(4,833)

  
 
 
(4,604)
 
 
(4,833)

Net assets
  
1,955,656
1,172,649


Capital and reserves
  

Called up share capital 
 20 
2
2

Profit and loss account
 21 
1,955,654
1,172,647

  
1,955,656
1,172,649


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 16 October 2023.




J E Wood
Director

The notes on pages 13 to 26 form part of these financial statements.
Page 9

 
PRIMARY CARE RECRUITMENT LTD
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 28 FEBRUARY 2023


Called up share capital
Profit and loss account
Total equity

£
£
£


At 1 March 2021
2
306,192
306,194



Profit for the year
-
2,197,060
2,197,060

Dividends: Equity capital
-
(1,330,605)
(1,330,605)



At 1 March 2022
2
1,172,647
1,172,649



Profit for the year
-
1,983,007
1,983,007

Dividends: Equity capital
-
(1,200,000)
(1,200,000)


At 28 February 2023
2
1,955,654
1,955,656


The notes on pages 13 to 26 form part of these financial statements.
Page 10

 
PRIMARY CARE RECRUITMENT LTD
 

STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 28 FEBRUARY 2023

2023
2022
£
£

Cash flows from operating activities

Profit for the financial year
1,983,007
2,197,060

Adjustments for:

Depreciation of tangible assets
12,231
11,474

Government grants
-
(27,844)

Interest paid
-
29,439

Interest received
(6,144)
(697)

Taxation charge
468,947
519,094

(Increase) in debtors
(1,256,227)
(485,110)

Increase in creditors
287,324
424,519

Corporation tax (paid)
(602,949)
(252,828)

Net cash generated from operating activities

886,189
2,415,107


Cash flows from investing activities

Purchase of tangible fixed assets
(13,467)
(6,503)

Interest received
6,144
697

Net cash from investing activities

(7,323)
(5,806)

Cash flows from financing activities

Repayment of other loans
-
(412,500)

Movements on invoice discounting
(268,436)
(87,089)

Dividends paid
(1,200,000)
(1,330,605)

Interest paid
-
(1,595)

Net cash used in financing activities
(1,468,436)
(1,831,789)

Net (decrease)/increase in cash and cash equivalents
(589,570)
577,512

Cash and cash equivalents at beginning of year
927,139
349,627

Cash and cash equivalents at the end of year
337,569
927,139


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
337,569
927,139

337,569
927,139


The notes on pages 13 to 26 form part of these financial statements.

Page 11

 
PRIMARY CARE RECRUITMENT LTD
 

ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 28 FEBRUARY 2023




At 1 March 2022
Cash flows
At 28 February 2023
£

£

£

Cash at bank and in hand

927,139

(589,570)

337,569


927,139
(589,570)
337,569

The notes on pages 13 to 26 form part of these financial statements.
Page 12

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023

1.


General information

Primary Care Recruitment Ltd (Company no. 06107910) is a private company limited by shares, which is incorporated and registered in England and Wales. The company's registered office is 10 Lansdowne Terrace, Gosforth, Newcastle upon Tyne, NE3 1HN. The principal activities of the company are a nursing and care recruitment agency.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies (see note 3).

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The following principal accounting policies have been applied:

 
2.2

Going concern

The company is cash generative and has no external finance other than invoice discounting. The directors have considered going concern and future forecasts, and they expect the Company to continue in operational existence for the foreseeable future.

 
2.3

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of revenue can be measured reliably;
it is probable that the Company will receive the consideration due under the contract;
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

 
2.4

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Page 13

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023

2.Accounting policies (continued)

 
2.5

Government grants

Grants are accounted under the accruals model as permitted by FRS 102.
Grants of a revenue nature are recognised in the Statement of Comprehensive Income in the same period as the related expenditure.

 
2.6

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.7

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.8

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the Company in independently administered funds.

Page 14

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023

2.Accounting policies (continued)

 
2.9

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

 
2.10

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Fixtures and fittings
-
20% Straight line
Computer equipment
-
33% 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.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.11

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Page 15

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023

2.Accounting policies (continued)

 
2.12

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Company's cash management.

 
2.13

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

 
2.14

Provisions for liabilities

Provisions are made where an event has taken place that gives the Company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation.
Provisions are charged as an expense to profit or loss in the year that the Company becomes aware of the obligation, and are measured at the best estimate at the balance sheet date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties.
When payments are eventually made, they are charged to the provision carried in the Balance Sheet.

 
2.15

Financial instruments

The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in ordinary shares.

Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or in case of an out-right short-term loan that is not at market rate, the financial asset or liability is measured, initially at the present value of future cash flows discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost, unless it qualifies as a loan from a director in the case of a small company, or a public benefit entity concessionary loan.

For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.

Page 16

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023

2.Accounting policies (continued)


2.15
Financial instruments (continued)

For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate of the recoverable amount, which is an approximation of the amount that the Company would receive for the asset if it were to be sold at the balance sheet date.

Financial assets and liabilities are offset and the net amount reported in the Balance Sheet when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

 
2.16

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.


3.


Judgements in applying accounting policies and key sources of estimation uncertainty

In the application of the Company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Page 17

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023

4.


Turnover

An analysis of turnover by class of business is as follows:


2023
2022
£
£

Candidate placement - temps
18,351,613
12,738,479

Training, immunisation and DBS fees
433,752
251,959

Insurance and admin deductions
145,302
99,852

Candidate placements - permanent
-
125

18,930,667
13,090,415


Analysis of turnover by country of destination:

2023
2022
£
£

United Kingdom
18,930,667
13,090,415

18,930,667
13,090,415



5.


Other operating income

2023
2022
£
£

Government grants receivable
-
27,844

-
27,844



6.


Operating profit

The operating profit is stated after charging:

2023
2022
£
£

Other operating lease rentals
52,027
46,084

Depreciation
12,231
11,474

Page 18

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023

7.


Auditors' remuneration

During the year, the Company obtained the following services from the Company's auditors:


2023
2022
£
£

Fees payable to the Company's auditors for the audit of the Company's financial statements
15,000
-

8.


Employees

Staff costs, including directors' remuneration, were as follows:


2023
2022
£
£

Wages and salaries
14,092,774
8,882,063

Social security costs
1,489,740
811,456

Cost of defined contribution scheme
94,985
60,471

15,677,499
9,753,990


The average monthly number of employees, including the directors, during the year was as follows:


        2023
        2022
            No.
            No.







The average monthly number of employees, including directors, during the year was
920
557


9.


Directors' remuneration

2023
2022
£
£

Directors' emoluments
25,000
25,000

25,000
25,000


Page 19

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023

10.


Interest receivable

2023
2022
£
£


Other interest receivable
6,144
697

6,144
697


11.


Interest payable and similar expenses

2023
2022
£
£


Other loan interest payable
-
29,439

-
29,439


12.


Taxation


2023
2022
£
£

Corporation tax


Current tax on profits for the year
464,956
518,839

Adjustments in respect of previous periods
4,220
-


469,176
518,839


Total current tax
469,176
518,839

Deferred tax


Origination and reversal of timing differences
(229)
255

Total deferred tax
(229)
255


Taxation on profit on ordinary activities
468,947
519,094
Page 20

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023
 
12.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is higher than (2022 - higher than) the standard rate of corporation tax in the UK of 19% (2022 - 19%). The differences are explained below:

2023
2022
£
£


Profit on ordinary activities before tax
2,451,954
2,716,154


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 19% (2022 - 19%)
465,871
516,069

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
266
2,090

Capital allowances for year in excess of depreciation
(1,181)
680

Adjustments to tax charge in respect of prior periods
4,220
-

Short-term timing difference leading to an increase (decrease) in taxation
(229)
255

Total tax charge for the year
468,947
519,094


Factors that may affect future tax charges

The March 2021 budget outlined a change to the tax rate, increasing the maximum rate to 25% from 2023 onward.


13.


Dividends

2023
2022
£
£


Dividends
1,200,000
1,330,605

1,200,000
1,330,605

Page 21

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023

14.


Tangible fixed assets





Fixtures and fittings
Computer equipment
Total

£
£
£



Cost or valuation


At 1 March 2022
16,660
43,088
59,748


Additions
7,542
5,925
13,467



At 28 February 2023

24,202
49,013
73,215



Depreciation


At 1 March 2022
11,342
28,135
39,477


Charge for the year on owned assets
2,506
9,725
12,231



At 28 February 2023

13,848
37,860
51,708



Net book value



At 28 February 2023
10,354
11,153
21,507



At 28 February 2022
5,318
14,953
20,271
Page 22

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023

15.


Debtors

2023
2022
£
£


Trade debtors
721,528
511,900

Other debtors
1,947,821
839,466

Prepayments and accrued income
357,818
379,597

Tax recoverable
583,263
230,031

3,610,430
1,960,994


Included within other debtors due within one year is a loan to the directors, amounting to £1,854,315 (2022 - £802,089). Amounts repaid during the year totalled £Nil. The loan is not interest bearing and is repayable on demand.

Also included within other debtors are proceeds of factored debts, amounting to £41,274 (2022 - £Nil). These amounts are secured against the trade debtors of the company.


16.


Cash and cash equivalents

2023
2022
£
£

Cash at bank and in hand
337,569
927,139

337,569
927,139


Page 23

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023

17.


Creditors: Amounts falling due within one year

2023
2022
£
£

Trade creditors
22,384
12,216

Corporation tax
818,188
598,731

Other taxation and social security
167,214
190,593

Proceeds of factored debts
-
227,162

Other creditors
7,320
11,797

Accruals and deferred income
994,140
690,423

2,009,246
1,730,922


The following liabilities were secured:

2023
2022
£
£



Proceeds of factored debts
-
227,162

-
227,162

Details of security provided:

Proceeds of factored debts, amounting to £Nil (2022 - £227,162). These amounts are secured against the trade debtors of the company.


18.


Financial instruments

2023
2022
£
£

Financial assets


Financial assets measured at fair value through profit or loss
337,569
927,139




Financial assets measured at fair value through profit or loss comprise cash at bank and in hand.

Page 24

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023

19.


Deferred taxation




2023


£






At beginning of year
(4,833)


Charged to profit or loss
229



At end of year
(4,604)

The provision for deferred taxation is made up as follows:

2023
2022
£
£


Accelerated capital allowances
(4,604)
(4,833)

(4,604)
(4,833)


20.


Share capital

2023
2022
£
£
Allotted, called up and fully paid



2 (2022 - 2) Ordinary shares of £1 each
2
2



21.


Reserves

Profit and loss account

The profit and loss account includes all current and prior period retained profits and losses net of distributions to shareholders.


22.


Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £94,985 (2022 - £60,471). Contributions totalling £3,092 (2022 - £2,272) were payable to the fund at the balance sheet date and are included in creditors. 

Page 25

 
PRIMARY CARE RECRUITMENT LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023

23.


Commitments under operating leases

At 28 February 2023 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2023
2022
£
£


Not later than 1 year
25,505
25,526

Later than 1 year and not later than 5 years
74,518
34,139

100,023
59,665


24.


Transactions with directors

Included within other debtors is £1,854,315 (2022 - £802,089) due from the directors. These amounts are not interest bearing and repayable on demand. During the year the directors received advances from the company of £1,051,711 (2022 - £468,806) and repaid amounts of £nil (2022 - £210,000).
During the year the company paid dividends of £1,200,000 (2022 - £1,330,605) to the directors.                                                         


25.


Controlling party

The ultimate controlling party is Mr B and Mrs J Wood, by virtue of their combined shareholding in the company.
Page 26