Caseware UK (AP4) 2023.0.135 2023.0.135 2023-12-312023-12-312252023-01-01falseNo description of principal activity141falsefalsefalse 05447577 2023-01-01 2023-12-31 05447577 2022-01-01 2022-12-31 05447577 2023-12-31 05447577 2022-12-31 05447577 2022-01-01 05447577 1 2023-01-01 2023-12-31 05447577 1 2022-01-01 2022-12-31 05447577 5 2023-01-01 2023-12-31 05447577 5 2022-01-01 2022-12-31 05447577 d:CompanySecretary1 2023-01-01 2023-12-31 05447577 d:Director2 2023-01-01 2023-12-31 05447577 d:Director3 2023-01-01 2023-12-31 05447577 d:Director4 2023-01-01 2023-12-31 05447577 d:RegisteredOffice 2023-01-01 2023-12-31 05447577 d:Agent1 2023-01-01 2023-12-31 05447577 e:Buildings 2023-01-01 2023-12-31 05447577 e:Buildings 2023-12-31 05447577 e:Buildings 2022-12-31 05447577 e:Buildings e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 05447577 e:MotorVehicles 2023-01-01 2023-12-31 05447577 e:FurnitureFittings 2023-01-01 2023-12-31 05447577 e:FurnitureFittings 2023-12-31 05447577 e:FurnitureFittings 2022-12-31 05447577 e:FurnitureFittings e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 05447577 e:OfficeEquipment 2023-01-01 2023-12-31 05447577 e:OfficeEquipment 2023-12-31 05447577 e:OfficeEquipment 2022-12-31 05447577 e:OfficeEquipment e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 05447577 e:ComputerEquipment 2023-01-01 2023-12-31 05447577 e:ComputerEquipment 2023-12-31 05447577 e:ComputerEquipment 2022-12-31 05447577 e:ComputerEquipment e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 05447577 e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 05447577 e:CurrentFinancialInstruments 2023-12-31 05447577 e:CurrentFinancialInstruments 2022-12-31 05447577 e:Non-currentFinancialInstruments 2023-12-31 05447577 e:Non-currentFinancialInstruments 2022-12-31 05447577 e:CurrentFinancialInstruments e:WithinOneYear 2023-12-31 05447577 e:CurrentFinancialInstruments e:WithinOneYear 2022-12-31 05447577 e:Non-currentFinancialInstruments e:AfterOneYear 2023-12-31 05447577 e:Non-currentFinancialInstruments e:AfterOneYear 2022-12-31 05447577 e:ReportableOperatingSegment1 2023-01-01 2023-12-31 05447577 e:ReportableOperatingSegment1 2022-01-01 2022-12-31 05447577 f:UnitedKingdom 2023-01-01 2023-12-31 05447577 f:UnitedKingdom 2022-01-01 2022-12-31 05447577 e:UKTax 2023-01-01 2023-12-31 05447577 e:UKTax 2022-01-01 2022-12-31 05447577 e:ShareCapital 2023-12-31 05447577 e:ShareCapital 2022-12-31 05447577 e:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 05447577 e:RetainedEarningsAccumulatedLosses 2023-12-31 05447577 e:RetainedEarningsAccumulatedLosses 2022-01-01 2022-12-31 05447577 e:RetainedEarningsAccumulatedLosses 2022-12-31 05447577 e:RetainedEarningsAccumulatedLosses 2022-01-01 05447577 e:AcceleratedTaxDepreciationDeferredTax 2023-12-31 05447577 e:AcceleratedTaxDepreciationDeferredTax 2022-12-31 05447577 e:OtherDeferredTax 2023-12-31 05447577 e:OtherDeferredTax 2022-12-31 05447577 d:OrdinaryShareClass1 2023-01-01 2023-12-31 05447577 d:OrdinaryShareClass1 2023-12-31 05447577 d:OrdinaryShareClass1 2022-12-31 05447577 d:OrdinaryShareClass2 2023-01-01 2023-12-31 05447577 d:OrdinaryShareClass2 2022-12-31 05447577 d:FRS102 2023-01-01 2023-12-31 05447577 d:Audited 2023-01-01 2023-12-31 05447577 d:FullAccounts 2023-01-01 2023-12-31 05447577 d:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 05447577 e:WithinOneYear 2023-12-31 05447577 e:WithinOneYear 2022-12-31 05447577 e:BetweenOneFiveYears 2023-12-31 05447577 e:BetweenOneFiveYears 2022-12-31 05447577 e:PlantEquipmentOtherAssetsUnderOperatingLeases 2023-12-31 05447577 e:PlantEquipmentOtherAssetsUnderOperatingLeases 2022-12-31 05447577 e:PlantEquipmentOtherAssetsUnderOperatingLeases e:WithinOneYear 2023-12-31 05447577 e:PlantEquipmentOtherAssetsUnderOperatingLeases e:WithinOneYear 2022-12-31 05447577 e:PlantEquipmentOtherAssetsUnderOperatingLeases e:BetweenOneFiveYears 2023-12-31 05447577 e:PlantEquipmentOtherAssetsUnderOperatingLeases e:BetweenOneFiveYears 2022-12-31 05447577 g:PoundSterling 2023-01-01 2023-12-31 iso4217:GBP xbrli:shares xbrli:pure
Company registration number: 05447577







ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31 DECEMBER 2023


CAREMARK LIMITED






































img7976.png                        

 


CAREMARK LIMITED
 


 
COMPANY INFORMATION


Directors
Mr S A C Dalziel 
Miss L A Fyfe 
Mr D J Glover  




Company secretary
Miss L A Fyfe



Registered number
05447577



Registered office
C1 Yeoman Gate
Yeoman Way

Worthing

West Sussex

BN13 3QZ




Independent auditors
Menzies LLP
Chartered Accountants & Statutory Auditor

3000a Parkway

Whiteley

Hampshire

PO15 7FX




Bankers
HSBC Bank Plc
6 West Street

Horsham

West Sussex

RH12 1PE





 


CAREMARK LIMITED
 



CONTENTS



Page
Strategic report
1 - 2
Directors' report
3 - 5
Independent auditors' report
6 - 9
Statement of income and retained earnings
10
Statement of financial position
11
Statement of cash flows
12
Analysis of net debt
13
Notes to the financial statements
14 - 25


 


CAREMARK LIMITED
 


 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

Introduction
 
The directors present their strategic report of the Company for the year ended 31 December 2023.

Business review
 
Since Caremark’s incorporation in 2005, the company has developed, and continues to develop, a model and system for the delivery of high quality domiciliary and related care services which it licences pursuant to a franchise agreement to its 122 franchisees in the UK. 
The Company receives a monthly welfare support fee from its franchisees, based on their turnover, for the ongoing support and guidance that is provided by the Company. The Company also charges a one-off Licence Fee for all new franchisees joining the Caremark network. 
The company operates its own company owned care office in West Sussex. 
The Company issued 9 new franchisee licenses during 2023, whist this was below the Company’s internal target, is in line with industry averages. The Company foresees the potential to increase this further in 2024.
For the year ending 31 December 2023, network turnover increased by 19%. Profits before tax in 2023 increased by 2% to £3,084,407. Profit has not increased in line with turnover due to significant investment in staffing with new roles created to further enhance the companies support to its network of franchisees. A significant increase in marketing expenditure was also incurred to support growth of the network. In 2022 the Company had three extra care schemes which were unsuccessful at the point of retendering, and hence the Company experienced a decrease in income from its company-owned care operations. The Company is keen to re-tender for these contracts at renewal. 
Overall, the Company performed well during 2023 and achieved its own internal targets and budgets.

Principal risks and uncertainties
 
The principal risks the Company faces are the recruitment and retention of care assistants, changes relating to future government policies and cyber security threats.
The domiciliary care industry faces great pressures in the recruitment and retention of care assistants. A significant shortage of care assistants and an ageing population, means that supply cannot keep up with demand, this creates individual stress and business risk for our franchisees. 
The Company is confident, that any risks and uncertainties can be mitigated and that it will seize the opportunities within the UK marketplace to ensure growth in turnover, network coverage and profitability.

Page 1

 


CAREMARK LIMITED
 



STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Financial and other key performance indicators
 
The financial and other key performance indicators are as follows:

2023
2022
Variance
Variance %
Turnover

£8,196,784

£9,108,557

(£911,773)
 
(10.01%)
 
Profit on ordinary activities before taxation

£3,084,407

£3,019,957

£64,450
 
2.13%
 
Cash at bank and in hand

£8,356,987

£5,648,483

£2,708,504
 
47.95%
 



 
 



 
 


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



Miss L A Fyfe
Director

Date: 29 August 2024

Page 2

 


CAREMARK LIMITED
 


 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

The directors present their report and the financial statements for the year ended 31 December 2023.

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 judgments 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.

Results and dividends

The profit for the year, after taxation, amounted to £2,356,357 (2022 - £2,444,431).

The total distribution of dividends for the year ended 31 December 2023 was £Nil (2022 - £750,000).

Directors

The directors who served during the year were:

Mr S A C Dalziel 
Miss L A Fyfe 
Mr D J Glover 

Future developments

In 2024 the Company introduced a national marketing levy to its network, to create a national marketing fund to further support its franchisees growth.
The directors are investigating the use of various technologies with the aim of streamlining the recruitment process and monitoring compliance. 
The Company’s business model is being reviewed in detail with changes being made to ensure the company remains competitive and effective whilst delivering the highest standards of care.

Page 3

 


CAREMARK LIMITED
 


 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Engagement with employees

Caremark Limited are proud to have an open-door policy. Staff members are encouraged to talk to the Directors any time. The directors are available in person, via emails, Teams or phone. The joint CEO’s hold regular meetings with employees to share Company updates. The directors also share video newsletters to give an update about the Company as and when necessary, and communications via the company employee engagement app.
 
Every January, franchise support centre employees are invited to the Annual Conference where the directors give an update on the industry, annual performance of the network and risks and opportunities for the forthcoming year. 
As part of the Performance Management System, all employees share with their managers, their career aspirations, how they wish to progress, and any skills they might need for development. They also have regular 1-2-1 meetings.
The Company communicates openly, how the external economic factors affect the business.
During the pandemic, employees worked from home as per the Government guidelines. Upon further discussions and evaluating the positive affect it had on the business, and the encouraging impact it had on our staff mental wellbeing and work life balance, the Company decided to continue the flexibility of staff members working from home one day a week. In the last financial year, cadence of virtual meetings was higher to ensure that staff members do not feel isolated. 

Disabled employees

Caremark Limited is an equal opportunities employer. The Company will always make reasonable adjustments for disabled workers right from the recruitment process. The Company policy clearly states that the candidates and members of staff are not disadvantaged when doing their job and/or treated less favourably than someone else, because of a protected characteristic. As per the policy, Equality and Dignity at Work, all staff members are required to complete a Health Declaration and evidence any disabilities where they think reasonable adjustments should be made. Staff equal opportunity monitoring system also helps identify any disability so that the company can support them further, for an excellent employee experience that increases productivity, employee satisfaction and motivation. The staff handbook and the initial training of Care assistants assess their functional skills, if they need any support with reading, writing, or putting the learnings into practice. Thoughtful considerations are made before a care assistant with special needs is allocated to look after a client. 
Many staff are lone workers, the Company has a policy for their manager to be in regular contact with employees, research shows that loneliness may result into poor mental wellbeing and potential disability, the Company views this as an important policy to be followed. 
Those with disabilities may be at greater risk of poor general health and wellbeing, the Company has therefore produced a policy to have frequent and early discussions to identify and mitigate the risk of mental disability.

Matters covered in the Strategic Report

The Company has chosen in accordance with section 414C(11) of the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 to set out in the Company's strategic report information required by schedule 7 of the Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008 it must be stated in the Directors' Report that it has done so. This includes information that would have been included in the business review and the principal risks and uncertainties.

Disclosure of information to auditors

Each of the 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.

Page 4

 


CAREMARK LIMITED
 


 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Post balance sheet events

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

Auditors

Under section 487(2) of the Companies Act 2006Menzies LLP will be deemed to have been reappointed as auditors 28 days after these financial statements were sent to members or 28 days after the latest date prescribed for filing the accounts with the registrar, whichever is earlier.

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





Miss L A Fyfe
Director

Date: 29 August 2024

Page 5

 


CAREMARK LIMITED
 

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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CAREMARK LIMITED

Opinion


We have audited the financial statements of Caremark Limited (the 'Company') for the year ended 31 December 2023, which comprise the Statement of Income and Retained Earnings, the Statement of Financial Position, the Statement of Cash Flows 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 31 December 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.


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 ReportOur 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.


Page 6

 


CAREMARK LIMITED


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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CAREMARK LIMITED (CONTINUED)

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 3, 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 7

 


CAREMARK LIMITED


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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CAREMARK LIMITED (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.


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:

The Company is subject to laws and regulations that directly affect the financial statements including financial reporting legislation, and general regulations such as health and safety. There are no industry specific laws and regulations which would be deemed to have a significant impact on the financial statements. We assessed the extent of compliance with the appropriate laws and regulations as part of our procedures on the related financial statement items.

We understood how the Company is complying with the legal and regulatory frameworks by, making inquiries to management.

The engagement partner assessed whether the engagement team collectively had the appropriate competence and capabilities to identify or recognize non-compliance with laws and regulations. The assessment did not identify any issues in this area.

We assessed the susceptibility of the Company financial statements to material misstatement, including how fraud might occur. Audit procedures performed by the engagement team included:

°Identifying and assessing the design effectiveness of controls management has in place to prevent and detect fraud;
°Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process;
°Challenging assumptions and judgments made by management in its significant accounting estimates; and
°Identifying and testing journal entries, particularly any journal entries posted with unusual account combinations.

As a result of the above procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas:

°Posting of unusual journals and complex transactions.
°Misappropriation of funds through fraudulent purchase ledger and payroll payroll activity.
°Manipulation of amounts subject to significant judgment or estimate.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.


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.


Page 8

 


CAREMARK LIMITED


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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CAREMARK LIMITED (CONTINUED)

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.





Andrew Galliers FCA (Senior statutory auditor)
  
for and on behalf of
Menzies LLP
 
Chartered Accountants
Statutory Auditor
  
3000a Parkway
Whiteley
Hampshire
PO15 7FX

29 August 2024
Page 9

 


CAREMARK LIMITED
 


 
STATEMENT OF INCOME AND RETAINED EARNINGS
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
Note
£
£

  

Turnover
 4 
8,196,784
9,108,557

Cost of sales
  
(1,561,880)
(2,912,569)

Gross profit
  
6,634,904
6,195,988

Administrative expenses
  
(3,669,985)
(3,206,179)

Other operating income
 5 
3,000
41,810

Operating profit
 6 
2,967,919
3,031,619

Interest receivable and similar income
 10 
131,982
3,257

Interest payable and similar expenses
 11 
(15,494)
(14,919)

Profit before tax
  
3,084,407
3,019,957

Tax on profit
 12 
(728,050)
(575,526)

Profit after tax
  
2,356,357
2,444,431

  

  

Retained earnings at the beginning of the year
  
5,979,237
4,284,806

  
5,979,237
4,284,806

Profit for the year
  
2,356,357
2,444,431

Dividends declared and paid
  
-
(750,000)

Retained earnings at the end of the year
  
8,335,594
5,979,237
The notes on pages 14 to 25 form part of these financial statements.

Page 10

 


CAREMARK LIMITED
REGISTERED NUMBER:05447577



STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2023

2023
2022
Note
£
£

Fixed assets
  

Tangible assets
 14 
359,118
364,739

  
359,118
364,739

Current assets
  

Debtors: amounts falling due within one year
 15 
1,723,890
1,657,696

Cash at bank and in hand
 16 
8,356,987
5,648,483

  
10,080,877
7,306,179

Creditors: amounts falling due within one year
 17 
(1,948,033)
(1,502,510)

Net current assets
  
 
 
8,132,844
 
 
5,803,669

Total assets less current liabilities
  
8,491,962
6,168,408

Creditors: amounts falling due after more than one year
 18 
(156,268)
(189,071)

  

Net assets
  
8,335,694
5,979,337


Capital and reserves
  

Called up share capital 
 20 
100
100

Profit and loss account
 21 
8,335,594
5,979,237

  
8,335,694
5,979,337

The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




Miss L A Fyfe
Director

Date: 29 August 2024

The notes on pages 14 to 25 form part of these financial statements.

Page 11

 


CAREMARK LIMITED
 



STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
£
£

Cash flows from operating activities

Profit for the financial year
2,356,357
2,444,431

Adjustments for:

Depreciation of tangible assets
26,976
28,688

Loss on disposal of tangible assets
-
2,644

Government grants
(3,000)
(41,810)

Interest paid
15,494
14,919

Interest received
(131,982)
(3,257)

Taxation charge
728,050
575,526

(Increase) in debtors
(68,309)
(176,930)

Increase in creditors
351,879
482,080

Corporation tax (paid)
(632,291)
(934,438)

Net cash generated from operating activities

2,643,174
2,391,853


Cash flows from investing activities

Purchase of tangible fixed assets
(21,355)
(19,695)

Sale of tangible fixed assets
-
341

Government grants received
3,000
41,810

Interest received
131,982
3,257

Net cash from investing activities

113,627
25,713

Cash flows from financing activities

Repayment of loans
(32,803)
(34,580)

Dividends paid
-
(750,000)

Interest paid
(15,494)
(14,919)

Net cash used in financing activities
(48,297)
(799,499)

Net increase in cash and cash equivalents
2,708,504
1,618,067

Cash and cash equivalents at beginning of year
5,648,483
4,030,416

Cash and cash equivalents at the end of year
8,356,987
5,648,483


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
8,356,987
5,648,483

8,356,987
5,648,483


The notes on pages 14 to 25 form part of these financial statements.

Page 12

 


CAREMARK LIMITED
 



ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 31 DECEMBER 2023




At 1 January 2023
Cash flows
At 31 December 2023
£

£

£

Cash at bank and in hand

5,648,483

2,708,504

8,356,987

Debt due after 1 year

(189,071)

32,803

(156,268)

Debt due within 1 year

(33,000)

-

(33,000)


5,426,412
2,741,307
8,167,719

The notes on pages 14 to 25 form part of these financial statements.

Page 13

 


CAREMARK LIMITED
 


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

1.


General information

Caremark Limited is a private company limited by shares incorporated and domiciled in England and Wales.
The address of its registered office, which is also the same as its principal place of business, is disclosed within the
Company Information page.

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 following principal accounting policies have been applied:

 
2.2

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.

 
2.3

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.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

 
2.4

Government grants

Grants are accounted under the accruals model as permitted by FRS 102. Grants relating to expenditure on tangible fixed assets are credited to profit or loss at the same rate as the depreciation on the assets to which the grant relates. The deferred element of grants is included in creditors as deferred income.
Grants of a revenue nature are recognised in the Statement of Income and Retained Earnings in the same period as the related expenditure.

Page 14

 


CAREMARK LIMITED
 


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

2.Accounting policies (continued)

 
2.5

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.

 
2.6

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

 
2.7

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 Statement of Financial Position. The assets of the plan are held separately from the Company in independently administered funds.

 
2.8

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 reporting 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 reporting 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 reporting date.

 
2.9

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.

Page 15

 


CAREMARK LIMITED
 


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

2.Accounting policies (continued)


2.9
Tangible fixed assets (continued)

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

Depreciation is provided on the following basis:

Freehold property
-
2%
Straight line (on buildings)
Motor vehicles
-
25%
Reducing balance
Fixtures and fittings
-
15%
Reducing balance
Office equipment
-
33%
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.

 
2.10

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.

 
2.11

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.

 
2.12

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.

Page 16

 


CAREMARK LIMITED
 


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

2.Accounting policies (continued)

 
2.13

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Financial liabilities

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

Basic financial liabilities, which include trade and other payables, bank loans and other loans are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

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

Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

 
2.14

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

The preparation of the financial statements requires management to make judgements, estimates and assumptions
that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
Fixed asset depreciation and residual values:
The directors have reviewed depreciation rates and asset lives & associated residual values of all fixed asset classes, and have concluded these are appropriate.

Page 17

 


CAREMARK LIMITED
 


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

4.


Turnover

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


2023
2022
£
£

Community service care franchising
8,196,784
9,108,557

8,196,784
9,108,557


Analysis of turnover by country of destination:

2023
2022
£
£

United Kingdom
8,196,784
9,108,557

8,196,784
9,108,557



5.


Other operating income

2023
2022
£
£

Government grants receivable
3,000
41,810

3,000
41,810



6.


Operating profit

The operating profit is stated after charging:

2023
2022
£
£

Other operating lease rentals
44,247
43,407


7.


Auditors' remuneration

2023
2022
£
£

Fees payable to the Company's auditors for the audit of the Company's financial statements
21,100
19,750
Page 18

 


CAREMARK LIMITED
 


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

8.


Employees

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


2023
2022
£
£

Wages and salaries
3,382,687
4,224,871

Social security costs
310,087
384,669

Cost of defined contribution scheme
68,493
75,159

3,761,267
4,684,699


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


        2023
        2022
            No.
            No.







Production and administration
141
225


9.


Directors' remuneration

2023
2022
£
£

Directors' emoluments
311,212
222,306

Company contributions to defined contribution pension schemes
2,642
2,168

313,854
224,474


During the year retirement benefits were accruing to 2 directors (2022 -2) in respect of defined contribution pension schemes.

The highest paid director received remuneration of £145,200 (2022 -£132,000).

The value of the Company's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £1,321 (2022 -£1,321).


10.


Interest receivable

2023
2022
£
£


Other interest receivable
131,982
3,257

131,982
3,257

Page 19

 


CAREMARK LIMITED
 


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

11.


Interest payable and similar expenses

2023
2022
£
£


Bank interest payable
15,494
9,973

Other interest payable
-
4,946

15,494
14,919


12.


Taxation


2023
2022
£
£

Corporation tax


Current tax on profits for the year
725,935
574,060


725,935
574,060


Total current tax
725,935
574,060

Deferred tax


Origination and reversal of timing differences
2,115
1,466

Total deferred tax
2,115
1,466


Taxation on profit on ordinary activities
728,050
575,526
Page 20

 


CAREMARK LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 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 23.5% (2022 -19%). The differences are explained below:

2023
2022
£
£


Profit on ordinary activities before tax
3,084,407
3,019,957


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 23.5% (2022 -19%)
725,935
573,792

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
779
956

Adjustments to tax charge in respect of prior periods
-
350

Other timing differences leading to an increase (decrease) in taxation
1,807
428

Other differences leading to an increase (decrease) in the tax charge
(471)
-

Total tax charge for the year
728,050
575,526


13.


Dividends

2023
2022
£
£


Dividends
-
750,000

-
750,000

Page 21

 


CAREMARK LIMITED
 


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

14.


Tangible fixed assets





Freehold property
Fixtures and fittings
Office equipment
Computer equipment
Total

£
£
£
£
£



Cost or valuation


At 1 January 2023
374,325
131,450
13,578
84,690
604,043


Additions
-
9,990
459
10,906
21,355



At 31 December 2023

374,325
141,440
14,037
95,596
625,398



Depreciation


At 1 January 2023
87,268
85,909
13,318
52,809
239,304


Charge for the year on owned assets
7,487
7,102
199
12,188
26,976



At 31 December 2023

94,755
93,011
13,517
64,997
266,280



Net book value



At 31 December 2023
279,570
48,429
520
30,599
359,118



At 31 December 2022
287,057
45,541
260
31,881
364,739

Page 22

 


CAREMARK LIMITED
 


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

15.


Debtors

2023
2022
£
£


Trade debtors
832,208
605,445

Other debtors
137,142
452,711

Prepayments and accrued income
739,693
582,578

Deferred taxation
14,847
16,962

1,723,890
1,657,696



16.


Cash and cash equivalents

2023
2022
£
£

Cash at bank and in hand
8,356,987
5,648,483

8,356,987
5,648,483



17.


Creditors: Amounts falling due within one year

2023
2022
£
£

Bank loans
33,000
33,000

Trade creditors
118,639
124,145

Corporation tax
228,133
134,489

Other taxation and social security
357,475
277,477

Other creditors
912,381
648,606

Accruals and deferred income
298,405
284,793

1,948,033
1,502,510



18.


Creditors: Amounts falling due after more than one year

2023
2022
£
£

Bank loans
156,268
189,071

156,268
189,071


Bank borrowing is secured over assets of the Company.

Page 23

 


CAREMARK LIMITED
 


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

19.


Deferred taxation




2023


£






At beginning of year
16,962


Charged to the profit or loss
(2,115)



At end of year
14,847

The deferred tax asset is made up as follows:

2023
2022
£
£


Accelerated capital allowances
13,466
15,671

Short term timing differences
1,381
1,291

14,847
16,962


20.


Share capital

2023
2022
£
£
Authorised, allotted, called up and fully paid



100 (2022 -75) Ordinary shares of £1.00 each
100
75
0 (2022 -25) 'A' Ordinary shares of £1.00 each
-
25

100

100

The Ordinary shareholder has one vote per Ordinary share held and nine votes per 'A' Ordinary share held.



21.


Reserves

Profit and loss account

This reserve records retained earnings.


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.  Contributions totalling £5,524 (2022 - £5,164) were payable to the fund at the reporting date and are included in creditors.

Page 24

 


CAREMARK LIMITED
 


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

23.


Commitments under operating leases

At 31 December 2023 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2023
2022
£
£

Land and buildings


Not later than 1 year
16,372
17,860

Later than 1 year and not later than 5 years
-
16,372

16,372
34,232

2023
2022

£
£

Other


Not later than 1 year
12,209
17,795

Later than 1 year and not later than 5 years
21,664
1,377

33,873
19,172


24.


Related party transactions

Caremark International Limited is a company under common control. During the year, the company made purchases of £4,145 (2022: £3,110) on behalf of Caremark International Limited.
At the year end, an amount was owed by Caremark International Limited to the Company of £2,926 (2022 - £304,323).
Blue Frog Cleaning Services Limited is a company under common control. During the year, the company made purchases of £nil  (2022: £97) on behalf of Blue Frog Cleaning Services Limited. 
At the year end, an amount was owed by Blue Frog Cleaning Services Limited to the Company of £131,016 (2022 - £145,788).
During the year, consultancy fees of £nil (2022 -  £17,940) were paid to one of the directors. 

 
Page 25