Loveday & Co (UK) Ltd 09875064 false 2023-01-01 2023-12-31 2023-12-31 The principal activity of the company is engineering related scientific and technical consulting activities Digita Accounts Production Advanced 6.30.9574.0 true true false false false false false false false 09875064 2023-01-01 2023-12-31 09875064 2023-12-31 09875064 bus:Consolidated 2023-12-31 09875064 core:RetainedEarningsAccumulatedLosses 2023-12-31 09875064 core:ShareCapital 2023-12-31 09875064 core:CurrentFinancialInstruments 2023-12-31 09875064 core:CurrentFinancialInstruments core:WithinOneYear 2023-12-31 09875064 core:Non-currentFinancialInstruments 2023-12-31 09875064 core:Non-currentFinancialInstruments core:AfterOneYear 2023-12-31 09875064 core:FurnitureFittingsToolsEquipment 2023-12-31 09875064 core:LandBuildings 2023-12-31 09875064 bus:SmallEntities 2023-01-01 2023-12-31 09875064 bus:Audited 2023-01-01 2023-12-31 09875064 bus:FullAccounts 2023-01-01 2023-12-31 09875064 bus:SmallCompaniesRegimeForAccounts 2023-01-01 2023-12-31 09875064 bus:RegisteredOffice 2023-01-01 2023-12-31 09875064 bus:CompanySecretary2 2023-01-01 2023-12-31 09875064 bus:Director2 2023-01-01 2023-12-31 09875064 bus:Director3 2023-01-01 2023-12-31 09875064 bus:Director4 2023-01-01 2023-12-31 09875064 bus:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 09875064 core:FurnitureFittingsToolsEquipment 2023-01-01 2023-12-31 09875064 core:LandBuildings 2023-01-01 2023-12-31 09875064 core:Subsidiary1 2023-01-01 2023-12-31 09875064 core:Subsidiary1 countries:AllCountries 2023-01-01 2023-12-31 09875064 core:Subsidiary2 2023-01-01 2023-12-31 09875064 core:Subsidiary3 2023-01-01 2023-12-31 09875064 core:Subsidiary4 2023-01-01 2023-12-31 09875064 core:Subsidiary5 2023-01-01 2023-12-31 09875064 core:Subsidiary6 2023-01-01 2023-12-31 09875064 core:Subsidiary6 countries:AllCountries 2023-01-01 2023-12-31 09875064 countries:EnglandWales 2023-01-01 2023-12-31 09875064 2022-12-31 09875064 core:FurnitureFittingsToolsEquipment 2022-12-31 09875064 core:LandBuildings 2022-12-31 09875064 2022-01-01 2022-12-31 09875064 2022-12-31 09875064 core:RetainedEarningsAccumulatedLosses 2022-12-31 09875064 core:ShareCapital 2022-12-31 09875064 core:CurrentFinancialInstruments 2022-12-31 09875064 core:CurrentFinancialInstruments core:WithinOneYear 2022-12-31 09875064 core:Non-currentFinancialInstruments 2022-12-31 09875064 core:Non-currentFinancialInstruments core:AfterOneYear 2022-12-31 09875064 core:CostValuation 2022-12-31 09875064 core:FurnitureFittingsToolsEquipment 2022-12-31 09875064 core:LandBuildings 2022-12-31 09875064 core:Subsidiary1 2022-01-01 2022-12-31 09875064 core:Subsidiary2 2022-01-01 2022-12-31 09875064 core:Subsidiary3 2022-01-01 2022-12-31 09875064 core:Subsidiary4 2022-01-01 2022-12-31 09875064 core:Subsidiary5 2022-01-01 2022-12-31 09875064 core:Subsidiary6 2022-01-01 2022-12-31 iso4217:GBP xbrli:pure

Registration number: 09875064

Prepared for the registrar

Loveday & Co (UK) Ltd

Annual Report and Financial Statements

for the Year Ended 31 December 2023

 

Loveday & Co (UK) Ltd

Contents

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3 to 9

 

Loveday & Co (UK) Ltd

Company Information

Directors

G R F Geller

L S Geller

J G Maitland-Cook

Company secretary

J G Maitland-Cook

Registered office

3rd Floor
243 Knightsbridge
London
SW7 1DN

Auditors

Hazlewoods LLP
Windsor House
Bayshill Road
Cheltenham
GL50 3AT

 

Loveday & Co (UK) Ltd

(Registration number: 09875064)
Balance Sheet as at 31 December 2023

Note

2023
 £

2022
 £

Fixed assets

 

Tangible assets

4

1,299,324

26,466

Investments

5

6

6

 

1,299,330

26,472

Current assets

 

Debtors: Amounts falling due within one year

6

2,145,452

886,226

Debtors: Amounts falling due after more than one year

6

-

254,055

Cash at bank and in hand

 

359,757

42,240

 

2,505,209

1,182,521

Creditors: Amounts falling due within one year

7

(2,418,434)

(3,540,832)

Net current assets/(liabilities)

 

86,775

(2,358,311)

Total assets less current liabilities

 

1,386,105

(2,331,839)

Creditors: Amounts falling due after more than one year

7

(9,750,000)

(3,200,000)

Net liabilities

 

(8,363,895)

(5,531,839)

Capital and reserves

 

Called up share capital

1,002

1,002

Profit and loss account

(8,364,897)

(5,532,841)

Total equity

 

(8,363,895)

(5,531,839)

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.

Approved and authorised by the Board on 25 September 2024 and signed on its behalf by:
 


L S Geller
Director

 

Loveday & Co (UK) Ltd

Notes to the Financial Statements for the Year Ended 31 December 2023

 

1

General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
3rd Floor
243 Knightsbridge
London
SW7 1DN

 

2

Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).

Basis of preparation

These financial statements have been prepared using the historical cost convention except for, where disclosed in these accounting policies, certain items that are shown at fair value.

The presentational currency of the financial statements is Pounds Sterling, being the functional currency of the primary economic environment in which the company operates. Monetary amounts in these financial statements are rounded to the nearest Pound.

Group accounts not prepared

The company has taken advantage of the exemption in section 398 of the Companies Act 2006 from the requirement to prepare consolidated financial statements, on the grounds that it is a small group.

Going concern

Not withstanding the net liability position shown on the balance sheet, the financial statements have been prepared on the going concern basis. The shareholders of the ultimate parent company have committed to invest additional funds to support the group, until the care homes (operated by the company’s subsidiaries) are forecast to be sufficiently cash generative to cover the head office costs incurred by the company. The company therefore continues to adopt the going concern basis in preparing its financial statements.

Judgements and estimation uncertainty

These financial statements do not contain any significant judgements or estimation uncertainty.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts and after eliminating sales within the company. The company recognises revenue when the amount of revenue can be reliably measured, it is probable that future economic benefits will flow to the entity and specific criteria have been met for each of the company's activities.

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rates prevailing on the initial transaction dates.

Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.

 

Loveday & Co (UK) Ltd

Notes to the Financial Statements for the Year Ended 31 December 2023

Tax

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

The current 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 taxable income.

Deferred tax is recognised on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the company. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, over their estimated useful lives, as follows:

Asset class

Depreciation method and rate

Leasehold improvements

20% straight line

Fixtures and fittings

33% straight line

Investments

Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.

Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade debtors

Trade debtors are amounts due from customers for services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. All trade debtors are repayable within one year and hence are included at the undiscounted cost of cash expected to be received. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the debtors.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and all are repayable within one year and hence are included at the undiscounted amount of cash expected to be paid.

 

Loveday & Co (UK) Ltd

Notes to the Financial Statements for the Year Ended 31 December 2023

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

Financial instruments

Classification
Financial instruments are classified and accounted for according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Where shares are issued, any component that creates a financial liability of the company is presented as a liability on the balance sheet. The corresponding dividends relating to the liability component are charged as interest expenses in the profit and loss account.

 Recognition and measurement
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

 

Loveday & Co (UK) Ltd

Notes to the Financial Statements for the Year Ended 31 December 2023

Financial instruments (continued)

Impairment
Assets, other than those measured at fair value, are assessed for indicators of impairment at each balance sheet date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss as described below.

A non financial asset is impaired where there is objective evidence that, as a result of one or more events that occurred after initial recognition, the estimated recoverable value of the asset has been reduced. The recoverable amount of an asset is the higher of its fair value less costs to sell and its value in use.

The recoverable amount of goodwill is derived from measurement of the present value of the future cash flows of the cash-generating units ('CGUs') of which the goodwill is a part. Any impairment loss in respect of a CGU is allocated first to the goodwill attached to that CGU, and then to other assets within that CGU on a pro-rata basis.

Where indicators exist for a decrease in impairment loss, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised. Where a reversal of impairment occurs in respect of a CGU, the reversal is applied first to the assets (other than goodwill) of the CGU on a pro-rata basis and then to any goodwill allocated to that CGU.

For financial assets carried at amortised cost, the amount of an impairment is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the financial asset’s original effective interest rate.

For financial assets carried at cost less impairment, the impairment loss is the difference between the asset’s carrying amount and the best estimate of the amount that would be received for the asset if it were to be sold at the reporting date.

Where indicators exist for a decrease in impairment loss, and the decrease can be related objectively to an event occurring after the impairment was recognised, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired financial asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised.

 

3

Staff numbers

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

 

Loveday & Co (UK) Ltd

Notes to the Financial Statements for the Year Ended 31 December 2023

 

4

Tangible assets

Leasehold improvements
£

Furniture, fittings and equipment
 £

Total
£

Cost

At 1 January 2023

23,713

63,533

87,246

Additions

1,541,886

6,351

1,548,237

At 31 December 2023

1,565,599

69,884

1,635,483

Depreciation

At 1 January 2023

16,918

43,862

60,780

Charge for the year

263,645

11,734

275,379

At 31 December 2023

280,563

55,596

336,159

Carrying amount

At 31 December 2023

1,285,036

14,288

1,299,324

At 31 December 2022

6,795

19,671

26,466

 

5

Fixed asset investments

2023
£

2022
£

Investments in subsidiaries

6

6

Subsidiaries

£

Cost and carrying amount

At 1 January 2023 and at 31 December 2023

6

Details of undertakings

Details of the investments in which the company holds 20% or more of the nominal value of any class of share capital are as follows:

Undertaking

Registered office

Holding

Proportion of voting rights and shares held

     

2023

2022

Subsidiary undertakings

IAC Chelsea Limited*

Ordinary

100%

100%

 

England and Wales

     

Loveday Kensington Limited*

England and Wales

Ordinary

100%

100%

 

     

Loveday Abbey Road Limited*

England and Wales

Ordinary

100%

100%

 

     

Loveday At Home Limited**

England and Wales

Ordinary

100%

100%

 

     

Loveday Notting Hill Limited*

England and Wales

Ordinary

100%

100%

 

     

Loveday Belgravia Limited*

Ordinary

25%

25%

 

England and Wales

     

*The principal activity of these companies is that of a nursing home operator.

**The principal activity of this company is that of a homecare agency.

 

Loveday & Co (UK) Ltd

Notes to the Financial Statements for the Year Ended 31 December 2023

 

6

Debtors

2023
 £

2022
 £

Trade debtors

1,322,529

277,101

Amounts owed by related parties

569,555

456,473

Other debtors

141,306

380,126

Prepayments

112,062

26,581

 

2,145,452

1,140,281

Less non-current portion

-

(254,055)

Total current trade and other debtors

2,145,452

886,226

Details of non-current trade and other debtors

£Nil (2022 - £254,055) of other debtors is classified as non current.

 

7

Creditors

Note

2023
 £

2022
 £

Due within one year

 

Trade creditors

 

174,063

922,226

Amounts due to group undertakings and related parties

 

1,568,025

2,086,047

Social security and other taxes

 

44,567

112,069

Other creditors

 

13,760

36,655

Accrued expenses

 

618,019

365,795

Corporation tax liability

-

18,040

 

2,418,434

3,540,832

Due after one year

 

Loans and borrowings

8

9,750,000

3,200,000

 

8

Loans and borrowings

2023
£

2022
£

Non-current loans and borrowings

Other borrowings

9,750,000

3,200,000

Other borrowings are unsecured and are wholly repayable within 5 years.

 

9

Financial commitments, guarantees and contingencies

Amounts not provided for in the balance sheet

The total amount of financial commitments not included in the balance sheet is £632,130 (2022 - £Nil).

 

10

Parent and ultimate parent undertaking

The company's immediate parent is Loveday Holdings Limited, incorporated in England and Wales. The ultimate parent is Geller Family Holdings Limited, incorporated in England and Wales. These financial statements are available upon request from the registered office. The ultimate controlling party is L S Geller.

 

Loveday & Co (UK) Ltd

Notes to the Financial Statements for the Year Ended 31 December 2023

 

11

Disclosure under Section 444(5B) CA 2006 relating to the independent auditor's report

As permitted by Section 444 CA 2006, these accounts do not contain a copy of the company’s Profit and Loss account or a copy of the Directors’ Report. Accordingly, the Independent Auditors’ Report has also been omitted.

The Independent Auditor's Report was unqualified. The name of the Senior Statutory Auditor who signed the audit report on 26 September 2024 was Simon Worsley, who signed for and on behalf of Hazlewoods LLP.