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Registration number: 03570491

Supreme Care Services Limited

Annual Report and Financial Statements

for the Year Ended 31 May 2024

Brebners
Chartered Accountants & Statutory Auditor
130 Shaftesbury Avenue
London
W1D 5AR

 

Supreme Care Services Limited

Contents

Company Information

1

Strategic Report

2 to 4

Director's Report

5

Statement of Director's Responsibilities

6

Independent Auditor's Report

7 to 10

Statement of Income and Retained Earnings

11

Statement of Financial Position

12

Statement of Cash Flows

13

Notes to the Financial Statements

14 to 25

 

Supreme Care Services Limited

Company Information

Director

R Efeotor

Company secretary

E Efeotor

Registered office

9 Crown Parade
Crown Lane
Morden
Surrey
SM4 5DA

Auditor

Brebners
Chartered Accountants & Statutory Auditor
130 Shaftesbury Avenue
London
W1D 5AR

 

Supreme Care Services Limited

Strategic Report for the Year Ended 31 May 2024

The director presents her strategic report for the year ended 31 May 2024.

Principal activity

The principal activity of the company is domiciliary care services.

Fair review of the business

Supreme Care Services Limited is a dedicated provider of a wide range of domiciliary care services for people with a reduced ability to care for themselves. At Supreme Care Services, we provide a wide range of practical help and support to people in the community who, because of their extreme frailty, disability or illness, require assistance in their own homes. Supreme Care Services pride ourselves on working closely with our clients to provide the best tailor-made assistance whilst in the comfort of their own homes, close to their loved ones and local community. Whilst in their homes, our service users can carry on as normal a life as possible, in dignity and surrounded by their own belongings.

Supreme Care Services recognises the need for care to be delivered by a skilled, honest, conscientious and motivated team. We are committed to the recruitment and continuous training of our staff in the delivery of care to the highest standard.

Whether it’s residential care for someone who is finding it increasingly difficult or lonely living in their own home, or someone who needs specialist nursing or dementia care etc, our home managers can offer guidance and support.

Supreme Care Services operates in a challenging market which is subject to commercial pressures from both our competition and the current economic uncertainty.

The director is satisfied with the company's performance for the year which saw a growth in revenues, and reflects the effort, time and investment the company has made to improve its care offering and support to clients.

The company's key financial and other operating performance indicators during the year were as follows:
 

Financial Key Performance Indicators

The key performance indicators used by the directors to measure the performance of the group are as follows:

Unit

2024

2023

Turnover

£

23,740,552

21,195,850

Profit before tax

£

1,029,024

520,076

Net Assets

£

3,854,270

4,436,971

In addition to the above, the current ratio for the year to 31 May 2024 was 1.54 (2023: 2.13).

There are numerous non-financial performance indicators used by the director but none are considered to be key.





 

 

Supreme Care Services Limited

Strategic Report for the Year Ended 31 May 2024

During the year the company continued to provide domiciliary, nursing and children care services for local authorities, NHS and privately funded clients. The company's CQC rating has accelerated their appeal to the new framework contracts with local authorities, increasing activities further. As a result, the director believes the company will continue to trade profitably in the coming years.

After a year of investment, consolidation and stabilisation in 2024, the company built on the strong foundations laid through the expansion of contracts with existing local authorities. This expansion in business resulted in a 12% increase in turnover during the year. As a result of past and ongoing investment in back-end technology, people and facilities, margins have remained consistent and resulted in a decrease in administrative costs. The company also continues to benefit from targeted support measures provided by Government and local authorities. These grants were provided to the social care sector and helped support the safe and timely discharge of patients from hospitals into social care. All of these factors have impacted positively on the company’s financial standing and bottom line.

The director is also satisfied with the statement of financial position at 31 May 2024 which shows £3,854,270 of net assets, £1,795,863 of net current assets and £687,772 cash at bank.

With these significant financial resources available, the director feels the company remains well-placed to exploit future opportunities as and when they arise. Supreme Care Services continues to expand its operations into Kent and Essex, whilst increasing current operations in inner London and Surrey, demonstrating the director's positive outlook for the company.

Principal risks and uncertainties

The company uses basic financial instruments, other than derivatives, comprising borrowings, cash and various items, such as trade debtors and trade creditors that arise directly from its operations. The main purposes of these financial instruments is to raise finance for the company's operations.

The company had no hedging arrangements at 31 May 2024.

The management of the business is subject to a number of risks, which are reviewed by the board and appropriate procedures put in place to monitor and mitigate. The key risks are liquidity risk, foreign currency exposure and customer credit exposure.

In respect of bank balances the company had no overdraft facility during the period and the company maintained significant cash at bank balances throughout the period.

Liquidity and cash flow risks are managed by the director.

Liquidity risk

The objective of the company in managing liquidity risk is to ensure that it can meet its financial obligations as and when they fall due. The company expects to meet its financial obligations through operating cash flows. In the event that the operating cash flows would not cover all of the financial obligations, the company has credit facilities available. The company policy throughout the year has been to ensure continuity of funding so that at least a significant part of its borrowings should mature in more than one year.

Customer credit exposure

The company may offer credit terms to its customers which allow payment of the debt after delivery of the goods or services. The company is at risk to the extent that a customer may be unable to pay the debt on the specified due date. This risk is mitigated by maintaining strong on-going customer relationships and closely monitoring outstanding debts from all sources.

 

Supreme Care Services Limited

Strategic Report for the Year Ended 31 May 2024

Interest rate risk

The company finances its operations through a mixture of working capital, and other borrowings. At present, given the size and nature of the company's operations, all bank borrowings are at floating rates. It is company policy to ensure that sufficient resources are available from cash balances, cash flows and near cash liquid investments to ensure all obligations can be met when they fall due, and to invest in cash assets safely and profitably.

Future developments

The principal activity and trading performance of the company is expected to remain consistent for the foreseeable future.

Summary

The board continuously monitor and respond to changes in the company's risk environment, so ensuring that the company remains well placed to address operational, reputational, financial and business risks in a timely and appropriate manner.

Approved by the director on 28 May 2025 and signed on its behalf by:

.........................................
R Efeotor
Director

 

Supreme Care Services Limited

Director's Report for the Year Ended 31 May 2024

The director presents her report and the financial statements for the year ended 31 May 2024.

Director of the company

The director who held office during the year was as follows:

R Efeotor

Director's liabilities

As permitted by the Articles of Association, the Directors have the benefit of an indemnity which is a qualifying third party indemnity provision as defined by Section 234 of the Companies Act 2006. The indemnity was in force throughout the last financial year and is currently in force.

Employment of disabled persons

The company gives full consideration to applications for employment from disabled persons where the candidate’s particular aptitudes and abilities are consistent with adequately meeting the requirements of the job. Opportunities are available to disabled employees for training, career development and promotion.

Where existing employees become disabled, it is the company’s policy to provide continuing employment wherever practicable in the same or an alternative position and to provide appropriate training to achieve this aim.

Employee involvement

The company's policy is to consult and discuss with employees, through meetings, on matters likely to affect employees' interests.

Information on matters of concern to employees is communicated internally to achieve a common awareness of the financial and economic factors affecting the performance of the company. Regular meetings are also held between local management and employees to allow a free flow of information and ideas.

Disclosure of information to the auditor

The director has taken steps that she ought to have taken as a director in order to make herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. The director confirms that there is no relevant information that she knows of and of which she knows the auditors are unaware.

Information included in the Strategic Report

The company has chosen in accordance with s.414C(11) Companies Act 2006 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 to be contained in the Director's Report. It has done so in respect of future developments and financial instruments.

Approved by the director on 28 May 2025 and signed by:



 

.........................................
R Efeotor
Director

 

Supreme Care Services Limited

Statement of Director's Responsibilities

The director acknowledges her responsibilities for preparing the Annual Report 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 she 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 apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;

state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

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 her to ensure that the financial statements comply with the Companies Act 2006. She 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.

 

Supreme Care Services Limited

Independent Auditor's Report to the Members of Supreme Care Services Limited
for the Year Ended 31 May 2024

Opinion

We have audited the financial statements of Supreme Care Services Limited (the 'company') for the year ended 31 May 2024, which comprise the Statement of Income and Retained Earnings, Statement of Financial Position, Statement of Cash Flows, 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 May 2024 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 Auditor’s 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 original financial statements were 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 director is responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

 

Supreme Care Services Limited

Independent Auditor's Report to the Members of Supreme Care Services Limited
for the Year Ended 31 May 2024

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 Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

the Director's Report has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of our 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 and the Director's Report.

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.

Responsibilities of the director

As explained more fully in the Statement of Director's Responsibilities (set out on page 6), 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 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 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 have no realistic alternative but to do so.

Auditor’s 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 auditor’s 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.

 

Supreme Care Services Limited

Independent Auditor's Report to the Members of Supreme Care Services Limited
for the Year Ended 31 May 2024

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:

Based on our understanding of the company and the industry in which it operates, we determined that the principle risks of non-compliance with laws and regulations related to the reporting framework (FRS 102 and the Companies Act 2006) and UK corporate taxation laws and health and safety legislation and compliance with the Care Quality Commission (CQC) and data protection legislation. These risks were communicated to our audit team and we remained alert to any indications of non-compliance throughout our audit.

We understood how the company is complying with relevant legislation by making enquiries of management. We also considered the results of our audit procedures and to what extent these corroborate this understanding and assessed the susceptibility of the company's financial statements to material misstatement. This included consideration of how fraud might occur and evaluation of management's incentives and opportunities for fraudulent manipulation of the financial statements.

We designed our audit procedures to identify any non-compliance with laws and regulations. Such procedures included, but were not limited to, inspection of any regulatory or legal correspondence; challenging assumptions and judgements made by management; identifying and testing journal entries with a focus on large or unusual transactions as determined based on our understanding of the business; and identifying and assessing the effectiveness of controls in place to prevent and detect fraud.

Owing to the inherent limitations of an audit, there remains a risk that a material misstatement may not have been detected, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance with laws and regulations and cannot be expected to detect all instances of non-compliance.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

As part of an audit in accordance with ISAs (UK), we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the company’s internal control.

Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the director.

Conclude on the appropriateness of the director's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern.

Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

 

Supreme Care Services Limited

Independent Auditor's Report to the Members of Supreme Care Services Limited
for the Year Ended 31 May 2024

Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the company to express an opinion on the financial statements. We are responsible for the direction, supervision and performance of the company audit. We remain solely responsible for our audit opinion.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

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 an auditor’s 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.

......................................
John Chamberlain (Senior Statutory Auditor)
For and on behalf of

Brebners, Statutory Auditor
130 Shaftesbury Avenue
London
W1D 5AR

29 May 2025

 

Supreme Care Services Limited

Statement of Income and Retained Earnings for the Year Ended 31 May 2024

Note

2024
£

2023
£

Turnover

3

23,740,552

21,195,850

Cost of sales

 

(18,843,623)

(16,837,194)

Gross profit

 

4,896,929

4,358,656

Administrative expenses

 

(3,928,682)

(3,972,427)

Other operating income

4

101,840

162,641

Fair value adjustment to investment property

13

-

-

Operating profit

5

1,070,087

548,870

Other interest receivable and similar income

6

10,870

9,392

Interest payable and similar charges

7

(51,933)

(38,186)

 

(41,063)

(28,794)

Profit before tax

 

1,029,024

520,076

Taxation

11

(311,725)

(124,155)

Profit for the financial year

 

717,299

395,921

Retained earnings brought forward

 

4,435,971

4,560,050

Dividends paid

 

(1,300,000)

(520,000)

Retained earnings carried forward

 

3,853,270

4,435,971

 

Supreme Care Services Limited

Statement of Financial Position as at 31 May 2024

Note

2024
£

2023
£

Fixed assets

 

Tangible assets

12

581,886

632,574

Investment property

13

2,145,000

2,145,000

2,726,886

2,777,574

Current assets

 

Debtors

14

4,449,025

4,274,117

Cash at bank and in hand

 

687,772

277,044

 

5,136,797

4,551,161

Creditors: Amounts falling due within one year

16

(3,340,934)

(2,135,332)

Net current assets

 

1,795,863

2,415,829

Total assets less current liabilities

 

4,522,749

5,193,403

Creditors: Amounts falling due after more than one year

16

(586,787)

(668,728)

Provisions for liabilities

18

(81,692)

(87,704)

Net assets

 

3,854,270

4,436,971

Capital and reserves

 

Called up share capital

20

1,000

1,000

Profit and loss account

21

3,853,270

4,435,971

Total equity

 

3,854,270

4,436,971

Approved and authorised by the director on 28 May 2025

 

......................................................................

R Efeotor

Director

Company registration number: 03570491

 

Supreme Care Services Limited

Statement of Cash Flows for the Year Ended 31 May 2024

Note

2024
£

2023
£

Cash flows from operating activities

Profit for the year

 

717,299

395,921

Adjustments to cash flows from non-cash items

 

Depreciation and amortisation

5

87,003

83,889

Profit on disposal of tangible assets

(7,314)

-

Finance income

6

(10,870)

(9,392)

Finance costs

7

51,933

38,186

Income tax expense

11

311,725

124,155

 

1,149,776

632,759

Working capital adjustments

 

Increase in debtors

14

(174,908)

(1,154,381)

Increase in creditors

16

1,015,184

1,161,237

Cash generated from operations

 

1,990,052

639,615

Income taxes paid

11

(131,228)

(318,388)

Net cash flow from operating activities

 

1,858,824

321,227

Cash flows from investing activities

 

Interest received

6

10,870

9,392

Acquisitions of tangible assets

(36,315)

(483,273)

Proceeds from sale of tangible assets

 

7,314

-

Net cash flows from investing activities

 

(18,131)

(473,881)

Cash flows from financing activities

 

Interest paid

7

(51,933)

(38,186)

Capital advances/(repayments) of bank loans

 

(78,032)

386,212

Dividends paid

23

(1,300,000)

(520,000)

Net cash flows from financing activities

 

(1,429,965)

(171,974)

Net increase/(decrease) in cash and cash equivalents

 

410,728

(324,628)

Cash and cash equivalents at 1 June

 

277,044

601,672

Cash and cash equivalents at 31 May

 

687,772

277,044

 

Supreme Care Services Limited

Notes to the Financial Statements for the Year Ended 31 May 2024

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:
9 Crown Parade
Crown Lane
Morden
Surrey
SM4 5DA

The principal place of business is:
9 Crown Parade
Crown Lane
Morden
Surrey
SM4 5DA

The principal activity of the company is that of domiciliary care services.

2

Accounting policies

Statement of compliance

These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

Basis of preparation

These financial statements have been prepared using the historical cost convention except any items disclosed in the accounting policies as being shown at fair value and are presented in sterling, which is the functional currency of the entity.

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.

Going concern

The company made a profit for the year ended 31 May 2024 and had net assets at that date of £3,854,270 including cash at bank of £687,772.

The company has an extensive pipeline of contracts with local authorities and the director is confident that the company will continue to be profitable in the forthcoming year. The company’s CQC rating has also sustained their appeal for new framework contracts.

The company operates in the care sector which remains in high demand and with the resources and experience that the company has together with the pro-active actions being taken, the company is well positioned to weather the current economic uncertainty.

On the basis of the above, and after making enquiries, the director has a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Accordingly, the director continues to adopt the going concern basis in preparing the financial statements.

 

Supreme Care Services Limited

Notes to the Financial Statements for the Year Ended 31 May 2024

Judgements

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.

Key sources of estimation uncertainty

Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. The key assumptions and other sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are as follows:.


Fair value of investment properties

Investment properties are held at fair value. The director exercises judgement to determine the fair value of investment properties.


Useful economic lives of tangible assets

Tangible fixed assets are depreciated to their estimated residual values over their estimated useful lives. The company exercises judgement to determine these useful lives and residual values.

Revenue recognition

The turnover shown in the profit and loss account represents amounts receivable during the year, exclusive of Value Added Tax. Revenues are recognised in the period to which they relate, as services are performed when the company has a right to consideration.

Revenue from the rendering of services is measured by reference to the stage of completion of the service transaction at the end of the reporting period provided that the outcome can be reliably estimated. When the outcome cannot be reliably estimated, revenue is recognised only to the extent that expenses recognised are recoverable.

Government grants

Government grants are recognised when it is reasonable to expect that the grants will be received and that all related conditions will be met, usually on submission of a valid claim for payment.

Grants of a revenue nature are credited to income so as to match them with the expenditure to which they relate.

 

Supreme Care Services Limited

Notes to the Financial Statements for the Year Ended 31 May 2024

Tax

The tax expense for the period comprises tax and deferred tax. Tax is recognised in profit or loss, 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 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 taxable income.

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.

Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.

Tangible assets

Tangible assets are stated in the statement of financial position 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, other than land and properties under construction over their estimated useful lives, as follows:

Asset class

Depreciation method and rate

Fixtures, Fittings and Equipment

25% straight line

Motor Vehicles

20% straight line or over length of the lease

Leasehold Improvements

20% straight line or over length of the lease

Computer Equipment

33% straight line

Freehold Property

5% straight line

Investment property

Investment properties are initially recognised at cost which includes purchase cost and any directly attributable expenditure.

Investment properties where fair value can be measured reliably are measured at fair value. Changes in fair value are recognised in profit or loss.

Fair value is derived from the current market for comparable real estate using observable market prices, adjusted if necessary for any differences in the nature, location and condition of the specific asset.

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.

 

Supreme Care Services Limited

Notes to the Financial Statements for the Year Ended 31 May 2024

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 income statement 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.

Operating leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.

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.

Dividends

Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

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

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 profit and loss account. 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.

 

Supreme Care Services Limited

Notes to the Financial Statements for the Year Ended 31 May 2024

3

Turnover

The analysis of the company's Turnover for the year from continuing operations is as follows:

2024
£

2023
£

Rendering of services

23,740,552

21,195,850

4

Other operating income

The analysis of the company's other operating income for the year is as follows:

2024
 £

2023
 £

Government grants

41,750

102,551

Rental income

60,090

60,090

101,840

162,641

5

Operating profit

Arrived at after charging/(crediting)

2024
 £

2023
 £

Depreciation expense

87,003

83,889

Profit on disposal of property, plant and equipment

(7,314)

-

6

Other interest receivable and similar income

2024
£

2023
£

Interest income on bank deposits

2,321

1,550

Other finance income

8,549

7,842

10,870

9,392

7

Interest payable and similar expenses

2024
 £

2023
 £

Interest on bank overdrafts and borrowings

51,933

17,208

Other interest payable

-

20,978

51,933

38,186

 

Supreme Care Services Limited

Notes to the Financial Statements for the Year Ended 31 May 2024

8

Staff costs

The aggregate payroll costs (including director's remuneration) were as follows:

2024
£

2023
£

Wages and salaries

18,114,913

15,966,070

Social security costs

1,549,374

1,482,557

Pension costs, defined contribution scheme

391,675

346,029

20,055,962

17,794,656

The average number of persons employed by the company during the year, analysed by category was as follows:

2024
No.

2023
No.

Administration and support

59

62

Operational

693

612

752

674

9

Director's remuneration

The director's remuneration for the year was as follows:

2024
 £

2023
 £

Remuneration

52,000

12,000

Contributions paid to money purchase schemes

24,938

24,173

76,938

36,173

10

Auditor's remuneration

2024
 £

2023
 £

Audit of the financial statements

52,920

50,400


 

 

Supreme Care Services Limited

Notes to the Financial Statements for the Year Ended 31 May 2024

11

Taxation

Tax charged/(credited) in the income statement

2024
£

2023
£

Current taxation

UK corporation tax

317,737

130,753

Deferred taxation

Arising from origination and reversal of timing differences

(6,012)

-

Arising from changes in tax rates and laws

-

(6,598)

Total deferred taxation

(6,012)

(6,598)

Tax expense in the income statement

311,725

124,155

The tax on profit before tax for the year is higher than the hybrid rate of corporation tax in the UK (2023 - higher than the standard rate of corporation tax in the UK) of 25% (2023 - 20%).

The differences are reconciled below:

2024
£

2023
£

Profit before tax

1,029,024

520,076

Corporation tax at standard rate

257,256

104,023

Effect of expense not deductible in determining taxable profit (tax loss)

44,926

20,807

Deferred tax movement

(6,012)

(6,598)

Tax increase from effect of capital allowances and depreciation

15,555

5,923

Total tax charge

311,725

124,155

Deferred tax

Deferred tax assets and liabilities

2024

Liability
£

Fair value uplift of investment property

108,875

Effect of capital allowances

(27,183)

81,692

2023

Liability
£

Fair value uplift of investment property

108,875

Effect of capital allowances

(21,171)

87,704

 

Supreme Care Services Limited

Notes to the Financial Statements for the Year Ended 31 May 2024

12

Tangible assets

Freehold property
£

Furniture, fittings and equipment
 £

Motor vehicles
 £

Leasehold improvements
 £

Computer equipment
£

Total
£

Cost or valuation

At 1 June 2023

465,200

138,678

502,908

293,048

327,883

1,727,717

Additions

-

1,238

35,077

-

-

36,315

Disposals

-

-

(62,000)

-

-

(62,000)

At 31 May 2024

465,200

139,916

475,985

293,048

327,883

1,702,032

Depreciation

At 1 June 2023

-

121,965

502,908

160,461

309,809

1,095,143

Charge for the year

-

9,819

7,015

59,361

10,808

87,003

Eliminated on disposal

-

-

(62,000)

-

-

(62,000)

At 31 May 2024

-

131,784

447,923

219,822

320,617

1,120,146

Carrying amount

At 31 May 2024

465,200

8,132

28,062

73,226

7,266

581,886

At 31 May 2023

465,200

16,713

-

132,587

18,074

632,574

 

Supreme Care Services Limited

Notes to the Financial Statements for the Year Ended 31 May 2024

13

Investment properties

2024
£

At 1 June 2023

2,145,000

At 31 May 2024

2,145,000

Investment properties are held at the Director's valuation.

14

Debtors

2024
 £

2023
 £

Trade debtors

2,807,028

2,747,048

Other debtors

1,296,217

1,155,081

Prepayments and accrued income

345,780

371,988

Total current trade and other debtors

4,449,025

4,274,117

15

Cash and cash equivalents

2024
£

2023
£

Cash on hand

687,772

277,044

16

Creditors

Note

2024
£

2023
£

Due within one year

 

Loans and borrowings

17

80,833

76,924

Trade creditors

 

123,710

223,150

Social security and other taxes

 

317,384

130,875

Other payables

 

2,312,562

1,326,773

Accruals

 

506,445

377,610

 

3,340,934

2,135,332

Due after one year

 

Loans and borrowings

17

586,787

668,728

Included within 'Other payables' is an amount of £807,143 (2023: £877,404) in respect of a bank factoring facility secured by way of both a fixed and floating charge over the assets and undertakings of the company

 

Supreme Care Services Limited

Notes to the Financial Statements for the Year Ended 31 May 2024

17

Loans and borrowings

Current loans and borrowings

2024
£

2023
£

Bank borrowings

80,833

76,924

Non-current loans and borrowings

2024
£

2023
£

Bank borrowings

586,787

668,728

Included within Non-current loans and borrowings is an amount of £171,574 (2023: £313,824) in respect of liabilities payable or repayable in instalments which fall due for payment after more than 5 years from the reporting date.

The bank loans are secured by way of fixed and floating charges over the company's assets.
 

18

Provisions for liabilities

Deferred tax
£

Total
£

At 1 June 2023

87,704

87,704

Increase (decrease) in existing provisions

(6,012)

(6,012)

At 31 May 2024

81,692

81,692

19

Pension and other schemes

Defined contribution pension scheme

The company operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the company to the scheme and amounted to £391,675 (2023 - £346,029).

20

Share capital

Allotted, called up and fully paid shares

2024

2023

No.

£

No.

£

Ordinary shares of £1 each

1,000

1,000

1,000

1,000

       
 

Supreme Care Services Limited

Notes to the Financial Statements for the Year Ended 31 May 2024

21

Reserves

Profit and loss account - This reserve records retained earnings and accumulated losses. Of the amounts standing to the credit of the profit and loss account at an amount of £836,717 (2023: £836,717) is undistributable in accordance with Companies Act 2006.

22

Obligations under leases

Operating leases

The total of future minimum lease payments is as follows:

2024
£

2023
£

Not later than one year

241,386

241,386

Later than one year and not later than five years

415,045

591,745

Later than five years

63,990

126,270

720,421

959,401

The amount of non-cancellable operating lease payments recognised as an expense during the year was £271,076 (2023 - £271,295).

The above commitments relate to property leases.

23

Dividends

Interim dividends paid

   

2024
£

 

2023
£

Interim dividend on ordinary shares

 

1,300,000

 

520,000

         

All dividends were paid to the director.

 

Supreme Care Services Limited

Notes to the Financial Statements for the Year Ended 31 May 2024

24

Analysis of changes in net debt

At 1 June 2023
£

Cash flows
£

At 31 May 2024
£

Cash and cash equivalents

Cash

277,044

410,728

687,772

Borrowings

Bank loans

(745,652)

78,032

(667,620)

 

(468,608)

488,760

20,152

25

Related party transactions

At 31 May 2024 an amount of £994,803 was owed from a company under the common control of the director (2023: £273,787). During the year, rental income of £60,090 (2023: £60,090) was received from a company under common control of the director.

During the year ended 31 May 2024 amounts totalling £27,336 were paid to an individual related to the director for services provided.

26

Transactions with directors

At 31 May 2024 an amount of £285,103 (2023: £794,224) was due from the director. Advances of £413,328 (2023: £1,063,580) and repayments of £922,449 (2023: £520,000) were made during the year. Interest of £8,549 (2023: £7,842) has been charged during the year at a rate of 2.25% per annum. There are no set repayment terms.

27

Non adjusting events after the financial period

Dividends of £750,000 were paid by the company post year end.