Company Registration No. 11839967 (England and Wales)
HALLIWELL HOMES (MIDLANDS DIVISION) LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2022
PAGES FOR FILING WITH REGISTRAR
HALLIWELL HOMES (MIDLANDS DIVISION) LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 7
HALLIWELL HOMES (MIDLANDS DIVISION) LIMITED
BALANCE SHEET
AS AT 31 AUGUST 2022
31 August 2022
- 1 -
2022
2021
Notes
£
£
£
£
Fixed assets
Tangible assets
4
1,284,857
1,313,574
Current assets
Debtors
5
1,024,768
434,644
Cash at bank and in hand
237,904
128,484
1,262,672
563,128
Creditors: amounts falling due within one year
6
(3,113,325)
(2,743,326)
Net current liabilities
(1,850,653)
(2,180,198)
Net liabilities
(565,796)
(866,624)
Capital and reserves
Called up share capital
10
10
Profit and loss reserves
(565,806)
(866,634)
Total equity
(565,796)
(866,624)

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

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

The financial statements were approved by the board of directors and authorised for issue on 25 October 2023 and are signed on its behalf by:
Mr Matthew Hargreaves
Director
Company Registration No. 11839967
HALLIWELL HOMES (MIDLANDS DIVISION) LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2022
- 2 -
1
Accounting policies
Company information

Halliwell Homes (Midlands Division) Limited is a private company limited by shares incorporated in England and Wales. The registered office is Pearce House, 80 Cawdor Street, Eccles, Manchester, M30 0QF.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

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 financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties at fair value. The principal accounting policies adopted are set out below.

1.2
Going concern

At 31 August 2022 the company had net liabilities of £565,796 due to substantial capital and infrastructure costs incurred in previous years to establish two care homes in the Midlands area. These two care homes are now fully operational and the company has generated a pre tax profit for the year of £381,119. The directors have reviewed forecasts for the period ended 31 August 2023 and beyond and consider the company to be a going concern

 

The company is supported by a loan of £2.1m from fellow group undertaking Halliwell Homes Limited. The directors of Halliwell Homes have provided a letter to the directors confirming that Halliwell Homes will provide continued financial support to Halliwell Homes (Midlands Division) for the forseeable future.

 

As a consequence of the matters outlined above, the directors have a reasonable expectation that the company has adequate resources to meet its obligations and continue in operational existence for the foreseeable future and therefore have prepared these accounts on the going concern basis and consider that this is appropriate.

1.3
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for services provided in the normal course of business.

 

The company recognises revenue when the amount of revenue can be measured reliably and when it is probable future economic benefit will flow to the entity.

1.4
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Land and buildings
2% straightline
Fixtures, fittings and equipment
25% reducing balance
Motor vehicles
25% reducing balance
HALLIWELL HOMES (MIDLANDS DIVISION) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2022
1
Accounting policies
(Continued)
- 3 -
1.5
Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

1.6
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.7
Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally 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.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans and loans from fellow group companies, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers.

1.8
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.9
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

HALLIWELL HOMES (MIDLANDS DIVISION) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2022
1
Accounting policies
(Continued)
- 4 -
Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

1.10
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

1.11
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.12
Leases

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

2
Judgements 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.

3
Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2022
2021
Number
Number
Total
49
51
HALLIWELL HOMES (MIDLANDS DIVISION) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2022
- 5 -
4
Tangible fixed assets
Land and buildings
Fixtures, fittings and equipment
Motor vehicles
Total
£
£
£
£
Cost or valuation
At 1 September 2021
1,759,310
107,501
43,991
1,910,802
Additions
436
19,002
23,590
43,028
At 31 August 2022
1,759,746
126,503
67,581
1,953,830
Depreciation and impairment
At 1 September 2021
549,310
34,857
13,061
597,228
Depreciation charged in the year
35,196
22,919
13,630
71,745
At 31 August 2022
584,506
57,776
26,691
668,973
Carrying amount
At 31 August 2022
1,175,240
68,727
40,890
1,284,857
At 31 August 2021
1,210,000
72,644
30,930
1,313,574

Land and buildings with a carrying value of £1,210,000 were revalued at 31st August 2021 by Christie & Co, who are independent valuers, not connected with the company, on the basis of market value. The valuation was undertaken in accordance with the Royal Institute of Chartered Surveyors Valuation Standards and was based on recent market transactions on arms length terms for similar properties.

The following Land and buildings are carried at valuation. If the assets were measured using the cost model, the carrying amounts would be as follows:

Land & buildings
2022
2021
£
£
Cost
1,426,695
1,426,259
Accumulated depreciation
(63,712)
(35,187)
Carrying value
1,362,983
1,391,072
5
Debtors
2022
2021
Amounts falling due within one year:
£
£
Trade debtors
1,010,057
425,359
Other debtors
14,711
9,285
1,024,768
434,644
HALLIWELL HOMES (MIDLANDS DIVISION) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2022
- 6 -
6
Creditors: amounts falling due within one year
2022
2021
£
£
Trade creditors
69,508
25,223
Taxation and social security
122,589
22,403
Other creditors
2,921,228
2,695,700
3,113,325
2,743,326
7
Audit report information

As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:

The auditor's report was unqualified.

Senior Statutory Auditor:
Karen Staley FCA BSc (Hons)
Statutory Auditor:
Geens Limited
8
Operating lease commitments
Lessee

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:

2022
2021
£
£
-
0
714
9
Other financial commitments

The company has charges over its assets in the form of debentures, as security for the bank loans held by parent company Halliwell Care Holding Limited.

10
Related party transactions
Transactions with related parties

The company has taken advantage of the exemption provided in Financial Reporting Standard 102. Disclosures need not be given of transactions entered in to between two or more members of a group, provided that any subsidiary which is party to the transaction is wholly owned by such a member.

HALLIWELL HOMES (MIDLANDS DIVISION) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2022
- 7 -
11
Parent company

At the year end and at the date of approving these financial statements the immediate parent company is Halliwell Care Holding Limited, a company registered in England and the ultimate controlling party is Halliwell Homes EOT Trust which owns 51% of the share capital of Halliwell Care Holdings Limited.

 

Before 31st May 2022 the immediate parent company was Halliwell Homes Limited, a company registered in England. The ultimate controlling party was Karen Mitchell-Mellor and Andrew Constable, who were the majority shareholders of Halliwell Homes Limited.

 

 

2022-08-312021-09-01false25 October 2023CCH SoftwareCCH Accounts Production 2023.100No description of principal activityThis audit opinion is unqualifiedMr Andrew ConstableMs Karen Mitchell-MellorMr David SheffieldDr Fenella QuinnMr Matthew HargreavesMr Paul Bliss118399672021-09-012022-08-31118399672022-08-31118399672021-08-3111839967core:LandBuildingscore:OwnedOrFreeholdAssets2022-08-3111839967core:PlantMachinery2022-08-3111839967core:MotorVehicles2022-08-3111839967core:LandBuildingscore:OwnedOrFreeholdAssets2021-08-3111839967core:PlantMachinery2021-08-3111839967core:MotorVehicles2021-08-3111839967core:CurrentFinancialInstrumentscore:WithinOneYear2022-08-3111839967core:CurrentFinancialInstrumentscore:WithinOneYear2021-08-3111839967core:CurrentFinancialInstruments2022-08-3111839967core:CurrentFinancialInstruments2021-08-3111839967core:ShareCapital2022-08-3111839967core:ShareCapital2021-08-3111839967core:RetainedEarningsAccumulatedLosses2022-08-3111839967core:RetainedEarningsAccumulatedLosses2021-08-3111839967bus:Director52021-09-012022-08-3111839967core:LandBuildingscore:OwnedOrFreeholdAssets2021-09-012022-08-3111839967core:PlantMachinery2021-09-012022-08-3111839967core:MotorVehicles2021-09-012022-08-31118399672020-09-012021-08-3111839967core:LandBuildingscore:OwnedOrFreeholdAssets2021-08-3111839967core:PlantMachinery2021-08-3111839967core:MotorVehicles2021-08-31118399672021-08-3111839967core:WithinOneYear2022-08-3111839967core:WithinOneYear2021-08-3111839967bus:PrivateLimitedCompanyLtd2021-09-012022-08-3111839967bus:SmallCompaniesRegimeForAccounts2021-09-012022-08-3111839967bus:FRS1022021-09-012022-08-3111839967bus:Audited2021-09-012022-08-3111839967bus:Director12021-09-012022-08-3111839967bus:Director22021-09-012022-08-3111839967bus:Director32021-09-012022-08-3111839967bus:Director42021-09-012022-08-3111839967bus:Director62021-09-012022-08-3111839967bus:FullAccounts2021-09-012022-08-31xbrli:purexbrli:sharesiso4217:GBP