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REGISTERED NUMBER: 03532708 (England and Wales)















HOMEBEECH LIMITED

STRATEGIC REPORT, REPORT OF THE DIRECTOR AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023






HOMEBEECH LIMITED (REGISTERED NUMBER: 03532708)

CONTENTS OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2023










Page

Company Information 1

Strategic Report 2

Report of the Director 3

Report of the Independent Auditors 4

Income Statement 7

Other Comprehensive Income 8

Balance Sheet 9

Statement of Changes in Equity 10

Notes to the Financial Statements 11


HOMEBEECH LIMITED

COMPANY INFORMATION
FOR THE YEAR ENDED 31 JULY 2023







DIRECTOR: Mr A M Lakhani





REGISTERED OFFICE: Maple House
121B Winchester Road
Chandlers Ford
Eastleigh
Hampshire
SO53 2DR





REGISTERED NUMBER: 03532708 (England and Wales)





AUDITORS: Rothmans Audit LLP
Statutory Auditors
Chartered Accountants
Fryern House
125 Winchester Road
Chandlers Ford
Hampshire
SO53 2DR

HOMEBEECH LIMITED (REGISTERED NUMBER: 03532708)

STRATEGIC REPORT
FOR THE YEAR ENDED 31 JULY 2023


The director presents his strategic report for the year ended 31 July 2023.

REVIEW OF BUSINESS
The care homes continue to provide qualitative services as verified by independent regulatory authority checks. There has been a focus within the Group on extending their care facilities within complex care.

Turnover for the year ended 31 July 2023 totalled £4,570,445 (2022: £5,105,387), with a gross profit of £84,238 (2022: £956,036).

The company faced some key challenges in the year, including transitioning patients out of a closing care home to another group site, and managing staffing issues. Alongside increased difficulties in the UK economic environment regarding rising costs, the company has made a loss before tax of £747,864 (2022 profit before tax £508,385). Management have managed this difficult period and have seen improved results in the first two quarters of 2024.

The average occupancy rate during the year was 79% (2022: 78%).

FUTURE DEVELOPMENTS
The director considers that the programme of capital expansion, combined with identifying new care markets, will result in an increase in future profitability. Management policies will continue to be reviewed in the light of changing trading conditions.

PRINCIPAL RISKS AND UNCERTAINTIES
The key business risks and uncertainties relate to the current economic climate and possible cut backs by the referring agencies in terms of care purchasing. The company has taken measures to refine its services provision and reconfigure its care categories with a view to targeting new sustainable income streams.

FINANCIAL RISK MANAGEMENT
The Company recognises the potential of financial risks given the current economic climates and is active in managing such risks.

LIQUIDITY RISKS
The director recognises the importance of funding and liquidity under the current economic climate and will continue to monitor the Company's financial resources to ensure that the Company is able to support its activities and future growth.

INTEREST RATE AND CASH FLOW RISKS
The Group of which the Company is a part has interest bearing liabilities such as bank loans which attracts interest at variable SONIA rates. An element of this bank loan is utilised within the Company via funds injected by the parent company. The group manages the liquidity risk by ensuring there are sufficient funds to meet amounts due.

ON BEHALF OF THE BOARD:





Mr A M Lakhani - Director


27 June 2024

HOMEBEECH LIMITED (REGISTERED NUMBER: 03532708)

REPORT OF THE DIRECTOR
FOR THE YEAR ENDED 31 JULY 2023


The director presents his report with the financial statements of the company for the year ended 31 July 2023.

DIVIDENDS
The total distribution of dividends for the year ended 31 July 2023 will be £Nil (2022: £Nil).

EVENTS SINCE THE END OF THE YEAR
Information relating to events since the end of the year is given in the notes to the financial statements.

DIRECTOR
Mr A M Lakhani held office during the whole of the period from 1 August 2022 to the date of this report.

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 he 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 him to ensure that the financial statements comply with the Companies Act 2006. He 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 he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS
Rothmans Audit LLP will be proposed for re-appointment at the forthcoming annual general meeting.

ON BEHALF OF THE BOARD:





Mr A M Lakhani - Director


27 June 2024

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
HOMEBEECH LIMITED


Opinion
We have audited the financial statements of Homebeech Limited (the 'company') for the year ended 31 July 2023 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the company's affairs as at 31 July 2023 and of its loss for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern
In auditing the financial statements, we have concluded that the director's 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 director with respect to going concern are described in the relevant sections of this report.

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, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the 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.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
HOMEBEECH LIMITED


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.

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 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.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We obtained an understanding of the legal and regulatory framework that the Company operates in, focusing on those laws and regulations that had a direct effect on the Financial Statements or that had a fundamental effect of the operations of the Company. The key laws and relations we considered in this context included the UK Companies Act and the Care Quality Commission (CQC) regulations.

Discussions were held within the engagement team regarding how and where fraud might occur in the Financial Statements and any potential indicators of fraud. As part of this discussion, we identified potential risk areas such as the completeness of revenue and liabilities. Audit procedures were designed to ensure all of the risks were addressed.

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

o enquiring of management as to actual and potential litigation and claims; and
o reviewing any correspondence with regulators and the Company's legal advisors.
o reviewing reports from CQC inspections and action plans.

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

o performed analytical procedures to identify any unusual or unexpected relationships;
o tested journal entries to identify unusual transactions and bias.

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 director and other management and the inspection of regulatory and legal correspondence, if any.

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.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
HOMEBEECH LIMITED


Use of our report
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in 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.




Liz Martyn ACA (Senior Statutory Auditor)
for and on behalf of Rothmans Audit LLP
Statutory Auditors
Chartered Accountants
Fryern House
125 Winchester Road
Chandlers Ford
Hampshire
SO53 2DR

28 June 2024

HOMEBEECH LIMITED (REGISTERED NUMBER: 03532708)

INCOME STATEMENT
FOR THE YEAR ENDED 31 JULY 2023

2023 2022
Notes £ £

TURNOVER 3 4,570,445 5,105,387

Cost of sales 4,486,207 4,149,351
GROSS PROFIT 84,238 956,036

Administrative expenses 839,309 661,015
(755,071 ) 295,021

Other operating income 4 18,967 213,425
OPERATING (LOSS)/PROFIT 6 (736,104 ) 508,446


Interest payable and similar expenses 7 11,760 61
(LOSS)/PROFIT BEFORE TAXATION (747,864 ) 508,385

Tax on (loss)/profit 8 (29,668 ) 41,863
(LOSS)/PROFIT FOR THE FINANCIAL YEAR (718,196 ) 466,522

HOMEBEECH LIMITED (REGISTERED NUMBER: 03532708)

OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 JULY 2023

2023 2022
Notes £ £

(LOSS)/PROFIT FOR THE YEAR (718,196 ) 466,522


OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME FOR
THE YEAR

(718,196

)

466,522

HOMEBEECH LIMITED (REGISTERED NUMBER: 03532708)

BALANCE SHEET
31 JULY 2023

2023 2022
Notes £ £ £ £
FIXED ASSETS
Intangible assets 9 1 1
Tangible assets 10 5,032,200 5,023,452
5,032,201 5,023,453

CURRENT ASSETS
Stocks 11 951,550 951,550
Debtors 12 608,965 564,713
Cash at bank 57,009 399,842
1,617,524 1,916,105
CREDITORS
Amounts falling due within one year 13 4,278,022 3,857,041
NET CURRENT LIABILITIES (2,660,498 ) (1,940,936 )
TOTAL ASSETS LESS CURRENT
LIABILITIES

2,371,703

3,082,517

PROVISIONS FOR LIABILITIES 15 35,299 27,917
NET ASSETS 2,336,404 3,054,600

CAPITAL AND RESERVES
Called up share capital 16 118,500 118,500
Retained earnings 17 2,217,904 2,936,100
SHAREHOLDERS' FUNDS 2,336,404 3,054,600

The financial statements were approved by the director and authorised for issue on 27 June 2024 and were signed by:





Mr A M Lakhani - Director


HOMEBEECH LIMITED (REGISTERED NUMBER: 03532708)

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 JULY 2023

Called up
share Retained Total
capital earnings equity
£ £ £
Balance at 1 August 2021 118,500 2,469,578 2,588,078

Changes in equity
Total comprehensive income - 466,522 466,522
Balance at 31 July 2022 118,500 2,936,100 3,054,600

Changes in equity
Total comprehensive income - (718,196 ) (718,196 )
Balance at 31 July 2023 118,500 2,217,904 2,336,404

HOMEBEECH LIMITED (REGISTERED NUMBER: 03532708)

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2023


1. COMPANY INFORMATION

Homebeech Limited is a private limited company, limited by shares, registered in England and Wales. The company's registered number is 03532708 and the address of its registered office is 121B Winchester Road, Chandlers Ford, Eastleigh, Hampshire, SO53 2DR.

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.

The presentation currency is £ sterling.

Going concern
The financial statements have been prepared on the going concern basis.

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

the requirements of Section 7 Statement of Cash Flows;
the requirement of paragraph 3.17(d);
the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
the requirement of paragraph 33.7.

Significant judgements and estimates
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date, and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates.

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

1)Impairment of assets
Management use their judgement to determine if there are any indicators of impairment.

2)Classification of freehold properties

Management use their judgement to determine the use of properties and to determine that these are
correctly classified.

Other key sources of estimation uncertainty;

1)Tangible fixed assets


Management estimate the useful life and residual value of tangible fixed assets based on market
information and their knowledge of the business, the remaining life of the asset and projected disposal
value.

HOMEBEECH LIMITED (REGISTERED NUMBER: 03532708)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JULY 2023


2. ACCOUNTING POLICIES - continued

Turnover
Turnover is generated from the provision of residential care services.

Turnover is recognised based on the occupation of the residential care homes and adjusted for accrued and deferred income where necessary.

Turnover is exempt from Value Added Tax.

Intangible fixed assets
Intangible fixed assets are initially measured at cost. After initial recognition, intangible fixed assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Amortisation is calculated so as to write off the cost of an intangible fixed asset, less its estimated residual value, over the useful economic life of that asset.

Goodwill representing the excess of consideration for an acquired undertaking, or acquired trade and assets, compared with the fair value of net assets acquired is capitalised and written off evenly over 10 years as in the opinion of the director this represents the period over which the goodwill is expected to give rise to economic benefits. Goodwill is reviewed for impairment at the end of the first full financial year following the acquisition and in other periods if events or changes in circumstances indicate that the carrying value may not be recoverable.

Tangible fixed assets
All tangible fixed assets are initially recognised at cost and subsequently carried at cost less accumulated depreciation and accumulated impairment losses.

The cost of tangible fixed assets initially recognised includes its purchase price and any cost that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in a manner intended by management.

Depreciation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows:

Freehold propertyStraight line over 150 years
Fixtures and fittings25% reducing balance
Motor vehicles25% reducing balance
Computer equipment25% reducing balance

Freehold land is not depreciated.

The assets' residual values and useful lives are reviewed and adjusted, if appropriate, at the end of each reporting period. The effect of any change is accounted for prospectively.

Tangible fixed assets are derecognised on disposal or when no future economic benefits are expected. On disposal, the difference between the net disposal proceeds and the carrying amount is recognised in the Income Statement.

Stocks
Stocks are valued at the lower of cost and net realisable value. Cost is based on the cost of purchases on a first in, first out basis. Net realisable value is based on estimated selling price less additional costs to completion and disposal.


HOMEBEECH LIMITED (REGISTERED NUMBER: 03532708)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JULY 2023


2. ACCOUNTING POLICIES - continued
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 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 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.

Operating lease agreements
Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remaining with the lessor are charged to the Income Statement on a straight line basis over the period of the lease.

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

Financial instruments
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 entity after deducting all of its financial liabilities.

Where the contractual obligations of financial instruments (including share capital) are equivalent to a similar debt instrument, those financial instruments are classed as financial liabilities. Financial liabilities are presented as such in the balance sheet. Finance costs and gains or losses relating to financial liabilities are included in the Income Statement. Finance costs are calculated so as to produce a constant rate of return on the outstanding liability.

Where the contractual terms of share capital do not have any terms meeting the definition of a financial liability then this is classed as an equity instrument. Dividends and distributions relating to equity instruments are debited direct to equity.

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 the Income Statement in the period to which they relate.

Government grants
Grants of a revenue nature are credited to the Income Statement in the period to which they relate in accordance with the terms of the grant. Any accrued or deferred element of the grant is included in debtors or creditors as applicable. All grants received in both the current and prior period relate to COVID-19 support.

3. TURNOVER

The turnover and profit before taxation are attributable to the provision of services and all arose within the United Kingdom.

HOMEBEECH LIMITED (REGISTERED NUMBER: 03532708)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JULY 2023


4. OTHER OPERATING INCOME
2023 2022
£ £
Sundry receipts - 2,302
Government grants 18,967 211,123
18,967 213,425

5. EMPLOYEES AND DIRECTORS
2023 2022
£ £
Wages and salaries 3,884,173 3,655,941
Social security costs 119,514 101,901
Other pension costs 30,713 26,608
4,034,400 3,784,450

The average number of employees during the year was as follows:
2023 2022

Nursing and catering staff - full time 60 59
Nursing and catering staff - part time 22 22
82 81

2023 2022
£ £
Director's remuneration - -

6. OPERATING (LOSS)/PROFIT

The operating loss (2022 - operating profit) is stated after charging:

2023 2022
£ £
Hire of plant and machinery 14,047 23,663
Depreciation - owned assets 62,616 56,613
Auditors' remuneration 8,085 7,350

7. INTEREST PAYABLE AND SIMILAR EXPENSES
2023 2022
£ £
Interest payable 11,760 61

HOMEBEECH LIMITED (REGISTERED NUMBER: 03532708)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JULY 2023


8. TAXATION

Analysis of the tax (credit)/charge
The tax (credit)/charge on the loss for the year was as follows:
2023 2022
£ £
Current tax:
UK corporation tax (44,979 ) 50,000
Over/under provision in prior
year 7,929 (36,054 )
Total current tax (37,050 ) 13,946

Deferred tax 7,382 27,917
Tax on (loss)/profit (29,668 ) 41,863

Reconciliation of total tax (credit)/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:

2023 2022
£ £
(Loss)/profit before tax (747,864 ) 508,385
(Loss)/profit multiplied by the standard rate of corporation tax in the UK of
25% (2022 - 19%)

(186,966

)

96,593

Effects of:
Expenses not deductible for tax purposes 5,613 8,826
Adjustments to tax charge in respect of previous periods 7,929 (36,054 )
Movement in deferred tax unprovided 187 21,217
Movement in deferred tax - changes in tax rates - 6,700
Impact of super deduction (1,764 ) (3,129 )
Group relief 131,129 (52,290 )
Differences in tax rates on losses carried back 14,204 -
Total tax (credit)/charge (29,668 ) 41,863

9. INTANGIBLE FIXED ASSETS
Goodwill
£
COST
At 1 August 2022
and 31 July 2023 16,000
AMORTISATION
At 1 August 2022
and 31 July 2023 15,999
NET BOOK VALUE
At 31 July 2023 1
At 31 July 2022 1

HOMEBEECH LIMITED (REGISTERED NUMBER: 03532708)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JULY 2023


10. TANGIBLE FIXED ASSETS
Fixtures
Freehold and Motor Computer
property fittings vehicles equipment Totals
£ £ £ £ £
COST
At 1 August 2022 5,423,449 1,701,785 2,468 25,293 7,152,995
Additions 5,290 66,074 - - 71,364
At 31 July 2023 5,428,739 1,767,859 2,468 25,293 7,224,359
DEPRECIATION
At 1 August 2022 532,261 1,570,644 2,454 24,184 2,129,543
Charge for year 22,458 39,342 14 802 62,616
At 31 July 2023 554,719 1,609,986 2,468 24,986 2,192,159
NET BOOK VALUE
At 31 July 2023 4,874,020 157,873 - 307 5,032,200
At 31 July 2022 4,891,188 131,141 14 1,109 5,023,452

Included in cost of land and buildings is freehold land of £ 2,060,000 (2022 - £ 2,060,000 ) which is not depreciated.

The freehold properties of the company are secured against the groups bank loan.

11. STOCKS
2023 2022
£ £
Stocks 951,550 951,550

The carrying value of stock includes £910,000 (2022: £910,000) pledged as security against the groups bank loan.

12. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£ £
Trade debtors 508,275 483,015
Other debtors 26,356 6,877
Prepayments and accrued income 74,334 74,821
608,965 564,713

13. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£ £
Trade creditors 617,042 557,731
Amounts owed to group undertakings 3,407,122 2,903,931
Corporation tax 136,784 259,046
Social security and other taxes 29,597 22,392
Other creditors 24,827 6,323
Accruals and deferred income 62,650 107,618
4,278,022 3,857,041

HOMEBEECH LIMITED (REGISTERED NUMBER: 03532708)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JULY 2023


14. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:
2023 2022
£ £
Within one year 3,239 6,341
Between one and five years 826 7,253
4,065 13,594

15. PROVISIONS FOR LIABILITIES
2023 2022
£ £
Deferred tax 35,299 27,917

Deferred tax
£
Balance at 1 August 2022 27,917
Provided during year 7,382
Balance at 31 July 2023 35,299

The deferred tax provision relates solely to accelerated capital allowances.

16. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2023 2022
value: £ £
118,500 Ordinary £1 118,500 118,500

Shares rank equally for voting purposes. On a show of hands each member shall have one vote and on a poll each member shall have one vote per share held. The voting rights are more particularly described in the articles of association.

17. RESERVES
Retained
earnings
£

At 1 August 2022 2,936,100
Deficit for the year (718,196 )
At 31 July 2023 2,217,904

Retained earnings includes all current and prior period retained profits and losses.

18. CONTINGENT LIABILITIES

The company has a cross guarantee with its holding company, Saffronland Group Limited, in favour of Coutts & Company to guarantee its loan. The total indebtedness at the balance sheet date was £16,558,000 (2022: £19,604,000).

19. RELATED PARTY DISCLOSURES

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

HOMEBEECH LIMITED (REGISTERED NUMBER: 03532708)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JULY 2023


20. POST BALANCE SHEET EVENTS

Sandmartins care home closed in August 2023, with a view to redevelop the property to maximise its potential for complex care provision.

21. ULTIMATE PARENT COMPANY AND ULTIMATE CONTROLLING PARTY

The company's immediate parent undertaking is Saffronland Care Limited and its ultimate parent undertaking is Saffronland Investments Limited, a company incorporated in England and Wales. The ultimate control of that company is exercise by Mr A M Lakhani.

The largest and smallest group in which the results of the company are consolidated is that headed by Saffronland Investments Limited, incorporated in England & Wales. The consolidated accounts of this company are available to the public and may be obtained from Companies House. No other group accounts include the results of the company.