Company registration number 07924353 (England and Wales)
KATHLEENS LODGE REST HOME LTD
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2024
PAGES FOR FILING WITH REGISTRAR
KATHLEENS LODGE REST HOME LTD
COMPANY INFORMATION
Director
Miss A L Brown
Company number
07924353
Registered office
416 Upper Shoreham Road
Shoreham-by-Sea
West Sussex
BN43 5NE
Accountants
Carpenter Box
Amelia House
Crescent Road
Worthing
West Sussex
BN11 1RL
KATHLEENS LODGE REST HOME LTD
CONTENTS
Page
Accountants' report
1
Balance sheet
2 - 3
Notes to the financial statements
4 - 8
KATHLEENS LODGE REST HOME LTD
CHARTERED ACCOUNTANTS' REPORT TO THE DIRECTOR ON THE PREPARATION OF THE UNAUDITED STATUTORY FINANCIAL STATEMENTS OF KATHLEENS LODGE REST HOME LTD FOR THE YEAR ENDED 31 JANUARY 2024
- 1 -
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Kathleens Lodge Rest Home Ltd for the year ended 31 January 2024 which comprise, the balance sheet and the related notes from the company’s accounting records and from information and explanations you have given us.
As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at https://www.icaew.com/regulation.
This report is made solely to the board of directors of Kathleens Lodge Rest Home Ltd, as a body, in accordance with the terms of our engagement letter dated 14 September 2022. Our work has been undertaken solely to prepare for your approval the financial statements of Kathleens Lodge Rest Home Ltd and state those matters that we have agreed to state to the board of directors of Kathleens Lodge Rest Home Ltd, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Kathleens Lodge Rest Home Ltd and its board of directors as a body, for our work or for this report.
It is your duty to ensure that Kathleens Lodge Rest Home Ltd has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and profit of Kathleens Lodge Rest Home Ltd. You consider that Kathleens Lodge Rest Home Ltd is exempt from the statutory audit requirement for the year.
We have not been instructed to carry out an audit or a review of the financial statements of Kathleens Lodge Rest Home Ltd. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.
Carpenter Box
28 October 2024
Chartered Accountants
Amelia House
Crescent Road
Worthing
West Sussex
BN11 1RL
KATHLEENS LODGE REST HOME LTD
BALANCE SHEET
AS AT
31 JANUARY 2024
31 January 2024
- 2 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
4
198,841
165,115
Current assets
Debtors
5
10,565
16,184
Cash at bank and in hand
131,392
108,541
141,957
124,725
Creditors: amounts falling due within one year
6
(69,945)
(51,679)
Net current assets
72,012
73,046
Total assets less current liabilities
270,853
238,161
Creditors: amounts falling due after more than one year
7
(171,079)
(154,548)
Provisions for liabilities
(32,300)
(36,300)
Net assets
67,474
47,313
Capital and reserves
Called up share capital
8
1
1
Profit and loss reserves
67,473
47,312
Total equity
67,474
47,313
The director of the company has elected not to include a copy of the profit and loss account within the financial statements.true
For the financial year ended 31 January 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The director acknowledges her responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The member has not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
KATHLEENS LODGE REST HOME LTD
BALANCE SHEET (CONTINUED)
AS AT
31 JANUARY 2024
31 January 2024
- 3 -
The financial statements were approved and signed by the director and authorised for issue on 28 October 2024
Miss A L Brown
Director
Company registration number 07924353 (England and Wales)
KATHLEENS LODGE REST HOME LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2024
- 4 -
1
Accounting policies
Company information
Kathleens Lodge Rest Home Ltd is a private company limited by shares incorporated in England and Wales. The registered office is 416 Upper Shoreham Road, Shoreham-by-Sea, West Sussex, BN43 5NE.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Going concern
At the time of approving the financial statements, the director hatrues a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The director has considered relevant information, including the company’s principal risks and uncertainties and the impact of subsequent events in making their assessment. Based on these assessments and having regard to the resources available to the entity, the director has concluded that there is no material uncertainty and that they can continue to adopt the going concern basis in preparing the annual report and financial statements.
1.3
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
1.4
Intangible fixed assets - goodwill
Goodwill represents the excess of the cost of acquisition of unincorporated businesses over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 5 years.
1.5
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Leasehold improvements
10% straight line per annum
Plant and machinery
25% diminishing balance per annum
Fixtures and fittings
25% diminishing balance per annum
Computers
25% diminishing balance per annum
Motor vehicles
25% diminishing balance per annum
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
KATHLEENS LODGE REST HOME LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2024
1
Accounting policies
(Continued)
- 5 -
1.6
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.7
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
1.8
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.9
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
1.10
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets. The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received. Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.11
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
KATHLEENS LODGE REST HOME LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2024
1
Accounting policies
(Continued)
- 6 -
1.12
Leases
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.
Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was 20 (2023 - 19).
3
Intangible fixed assets
Goodwill
£
Cost
At 1 February 2023 and 31 January 2024
20,000
Amortisation and impairment
At 1 February 2023 and 31 January 2024
20,000
Carrying amount
At 31 January 2024
At 31 January 2023
KATHLEENS LODGE REST HOME LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2024
- 7 -
4
Tangible fixed assets
Leasehold improvements
Plant and machinery
Fixtures and fittings
Computers
Motor vehicles
Total
£
£
£
£
£
£
Cost
At 1 February 2023
14,530
23,830
151,064
11,266
146,248
346,938
Additions
2,360
2,098
65,085
69,543
At 31 January 2024
14,530
26,190
153,162
11,266
211,333
416,481
Depreciation and impairment
At 1 February 2023
5,476
13,422
135,439
9,011
18,475
181,823
Depreciation charged in the year
2,263
3,192
3,950
579
25,833
35,817
At 31 January 2024
7,739
16,614
139,389
9,590
44,308
217,640
Carrying amount
At 31 January 2024
6,791
9,576
13,773
1,676
167,025
198,841
At 31 January 2023
9,054
10,408
15,625
2,255
127,773
165,115
5
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
9,026
14,195
Other debtors
1,539
1,989
10,565
16,184
6
Creditors: amounts falling due within one year
2024
2023
£
£
Bank loans
5,398
5,285
Trade creditors
2,588
8,776
Taxation and social security
22,924
9,672
Other creditors
39,035
27,946
69,945
51,679
The bank loan held is secured against the assets of the company.
Included within other creditors are hire purchase liabilities of £173,537 (2023 - £126,059) which are secured over the assets to which they relate.
KATHLEENS LODGE REST HOME LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2024
- 8 -
7
Creditors: amounts falling due after more than one year
2024
2023
£
£
Bank loans and overdrafts
32,485
37,883
Other creditors
138,594
116,665
171,079
154,548
The bank loan held is secured against the assets of the company.
Included within other creditors are hire purchase liabilities of £173,537 (2023 - £126,059) which are secured over the assets to which they relate.
8
Called up share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary share of £1 each
1
1
1
1
9
Operating lease commitments
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
2024
2023
£
£
75,000
75,000