| National Care Consortium Limited |
| Strategic Report |
|
|
| Business review |
| Turnover for the 12 month period to 31 October 2024 improved by 13% compared to the previous year. |
| This was due to the the company continuing to maintain and increase its current market share. |
| Gross margins were increased during the year by 1% because of rising costs. |
| However the net margins suffered due to rising costs such as salaries, cleaning and increased bank |
| loan interest payable on new borrowing raised and also interest paid on old loans. |
| As a result the bottom line (net profit) was similar to previous year. |
|
| Principal risks and uncertainties |
| The principal risks facing the company are rising costs, competition and recession due to |
| inflation, changes in law and regulations. |
|
| Financial key performance indicators (KPI) |
| The basic KPIs on which the company basis its financial evaluations are gross profit, net profit |
| and employee costs. |
| The company has been able to increase turnover because of increasing their rates and marketing. |
|
| Use of key performance indicators |
| The company directors and managers attend monthly meetings to review the performance |
| of the company by using the KPIs discussed above |
| The company manages a robust cashflow to enable future growth and investment in technology. |
| The directors are to monitor costs and turnover to ensure the company can grow organically. |
|
|
| This report was approved by the board on 2 May 2025 and signed on its behalf. |
|
|
|
| Mr T Younas |
| Director |
|
|
| 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 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 auditor’s report thereon. The directors are responsible for the other information contained within the annual report. 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. 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. |
|
| Opinions on other matters prescribed by the Companies Act 2006 |
| In our opinion, based on the work undertaken in the course of the audit: |
| ● |
the information given in the strategic report and the 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 |
| National Care Consortium Limited |
| Statement of Cash Flows |
| for the year ended 31 October 2024 |
|
| Notes |
|
2024 |
|
2023 |
| £ |
£ |
| Operating activities |
| Profit for the financial year after tax |
518,893 |
|
529,855 |
|
| Adjustments for: |
| Interest receivable |
(222) |
|
- |
| Interest payable |
317,354 |
|
216,755 |
| Tax on profit on ordinary activities |
184,301 |
|
140,376 |
| Depreciation |
82,549 |
|
100,670 |
| Increase in stocks |
(2,551) |
|
(10,445) |
| Increase in debtors |
(765,430) |
|
(1,940,021) |
| Increase in creditors |
100,163 |
|
75,872 |
|
|
|
435,057 |
|
(886,938) |
|
| Interest received |
222 |
|
- |
| Interest paid |
|
|
(317,354) |
|
(216,755) |
| Corporation tax paid |
(140,376) |
|
(195,798) |
|
| Cash used in operating activities |
* |
|
(22,451) |
|
(1,299,491) |
|
|
|
|
|
|
| Investing activities |
| Payments to acquire tangible fixed assets |
- |
|
(207,540) |
| Proceeds from sale of tangible fixed assets |
- |
|
161,638 |
|
| Cash used in investing activities |
** |
|
- |
|
(45,902) |
|
|
|
|
|
|
| Financing activities |
| Equity dividends paid |
- |
|
- |
| Repayment of loans |
409,023 |
|
1,214,818 |
| Capital element of finance lease payments |
(28,980) |
|
(28,033) |
|
| Cash generated by financing activities |
*** |
|
380,043 |
|
1,186,785 |
|
|
|
|
|
|
| Net cash generated/(used) |
| Cash used in operating activities |
* |
|
(22,451) |
|
(1,299,491) |
| Cash used in investing activities |
** |
|
- |
|
(45,902) |
| Cash generated by financing activities |
*** |
|
380,043 |
|
1,186,785 |
|
| Net cash generated/(used) |
357,592 |
|
(158,608) |
|
| Cash and cash equivalents at 1 November |
b/f |
|
258,981 |
|
417,589 |
| Cash and cash equivalents at 31 October |
c/f |
|
616,573 |
|
258,981 |
|
|
|
|
|
|
|
| Cash and cash equivalents comprise: |
| Cash at bank |
c/f |
|
616,573 |
|
258,981 |
|
|
|
|
|
|
|
|
|
Investment property |
|
Investment property is initially recognised at cost and then subsequently measured at fair value. Changes in value are recognised in profit or loss. |
|
|
Investments |
|
Investments in subsidiaries, associates and joint ventures are measured at cost less any accumulated impairment losses. Listed investments are measured at fair value. Unlisted investments are measured at fair value unless the value cannot be measured reliably, in which case they are measured at cost less any accumulated impairment losses. Changes in fair value are included in the profit and loss account. |
|
|
Stocks |
|
Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first in first out method. The carrying amount of stock sold is recognised as an expense in the period in which the related revenue is recognised. |
|
|
|
|
Debtors |
|
Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts. |
|
|
Creditors |
|
Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method. |
|
|
Taxation |
|
A current tax liability is recognised for the tax payable on the taxable profit of the current and past periods. A current tax asset is recognised in respect of a tax loss that can be carried back to recover tax paid in a previous period. Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments. Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. 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, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used. Current and deferred tax assets and liabilities are not discounted. |
|
|
Provisions |
|
Provisions (ie liabilities of uncertain timing or amount) are recognised when there is an obligation at the reporting date as a result of a past event, it is probable that economic benefit will be transferred to settle the obligation and the amount of the obligation can be estimated reliably. |
|
|
Foreign currency translation |
|
Transactions in foreign currencies are initially recognised at the rate of exchange ruling at the date of the transaction. At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are charged to profit or loss. |
|
|
|
|
Leased assets |
|
A lease is classified as a finance lease if it transfers substantially all the risks and rewards incidental to ownership. All other leases are classified as operating leases. The rights of use and obligations under finance leases are initially recognised as assets and liabilities at amounts equal to the fair value of the leased assets or, if lower, the present value of the minimum lease payments. Minimum lease payments are apportioned between the finance charge and the reduction in the outstanding liability using the effective interest rate method. The finance charge is allocated to each period during the lease so as to produce a constant periodic rate of interest on the remaining balance of the liability. Leased assets are depreciated in accordance with the company's policy for tangible fixed assets. If there is no reasonable certainty that ownership will be obtained at the end of the lease term, the asset is depreciated over the lower of the lease term and its useful life. Operating lease payments are recognised as an expense on a straight line basis over the lease term. |
|
|
Pensions |
|
Contributions to defined contribution plans are expensed in the period to which they relate. |
|
|
| 2 |
Analysis of turnover |
2024 |
|
2023 |
| £ |
£ |
|
|
Sale of services and goods |
10,691,515 |
|
9,278,573 |
|
|
|
|
|
|
|
|
|
|
By geographical market: |
|
UK |
10,691,515 |
|
9,278,573 |
|
|
|
|
|
|
|
|
|
|
| 3 |
Operating profit |
2024 |
|
2023 |
| £ |
£ |
|
This is stated after charging: |
|
Depreciation of owned fixed assets |
82,549 |
|
100,670 |
|
Auditors' remuneration for audit services |
7,000 |
|
6,000 |
|
Accountants' remuneration for other services |
13,200 |
|
10,250 |
|
Carrying amount of stock sold |
322,601 |
|
336,500 |
|
|
|
|
|
|
|
|
|
|
| 4 |
Staff costs |
2024 |
|
2023 |
| £ |
£ |
|
Wages and salaries |
6,125,856 |
|
5,404,913 |
|
Social security costs |
454,057 |
|
365,879 |
|
Other pension costs |
95,333 |
|
68,712 |
|
|
|
|
|
|
6,675,246 |
|
5,839,504 |
|
|
|
|
|
|
|
|
|
|
|
Average number of employees during the year |
Number |
Number |
|
|
Administration and management |
24 |
|
22 |
|
Health care assistants |
221 |
|
212 |
|
Cleaners and kitchen staff |
65 |
|
62 |
|
Handyman |
8 |
|
6 |
|
Nurses |
15 |
|
10 |
|
|
|
|
|
|
333 |
|
312 |
|
|
|
|
|
|
|
|
|
| 5 |
Interest payable |
2024 |
|
2023 |
| £ |
£ |
|
Bank loans and overdrafts |
317,354 |
|
216,755 |
|
|
|
|
|
|
|
|
|
|
| 6 |
Taxation |
2024 |
|
2023 |
|
Analysis of charge in period |
£ |
£ |
|
Current tax: |
|
UK corporation tax on profits of the period |
184,301 |
|
140,376 |
|
Tax on profit on ordinary activities |
184,301 |
|
140,376 |
|
|
|
|
|
|
|
|
|
|
Factors affecting tax charge for period |
|
The differences between the tax assessed for the period and the standard rate of corporation tax are explained as follows: |
|
|
|
|
|
|
2024 |
|
2023 |
| £ |
£ |
|
Profit on ordinary activities before tax |
703,194 |
|
670,231 |
|
|
|
|
|
|
|
|
|
|
Standard rate of corporation tax in the UK |
20% |
|
20% |
| £ |
£ |
|
Profit on ordinary activities multiplied by the standard rate of corporation tax |
|
140,639 |
|
134,046 |
|
Effects of: |
|
Expenses not deductible for tax purposes |
43,662 |
|
6,330 |
|
Current tax charge for period |
184,301 |
|
140,376 |
|
|
|
|
|
|
|
|
|
|
Factors that may affect future tax charges |
|
Changes in corporation tax rates and capital allowances rates may afftect future tax charges. |
|
|
| 7 |
Tangible fixed assets |
|
|
Land and buildings |
|
Plant and machinery |
|
Fixtures, fittings, tools and equipment |
|
Total |
|
|
At valuation |
|
At cost |
|
At cost |
| £ |
£ |
£ |
£ |
|
Cost or valuation |
|
At 1 November 2023 |
3,869,384 |
|
584,305 |
|
227,722 |
|
4,681,411 |
|
Revaluation |
2,955,000 |
|
- |
|
- |
|
2,955,000 |
|
At 31 October 2024 |
6,824,384 |
|
584,305 |
|
227,722 |
|
7,636,411 |
|
|
|
|
|
|
|
|
|
|
Depreciation |
|
At 1 November 2023 |
- |
|
256,738 |
|
96,683 |
|
353,421 |
|
Charge for the year |
- |
|
58,962 |
|
23,587 |
|
82,549 |
|
At 31 October 2024 |
- |
|
315,700 |
|
120,270 |
|
435,970 |
|
|
|
|
|
|
|
|
|
|
Carrying amount |
|
At 31 October 2024 |
6,824,384 |
|
268,605 |
|
107,452 |
|
7,200,441 |
|
At 31 October 2023 |
3,869,384 |
|
327,567 |
|
131,039 |
|
4,327,990 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2024 |
|
2023 |
| £ |
£ |
|
Carrying amount of land and buildings on cost basis |
3,869,384 |
|
3,869,384 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2024 |
|
2023 |
| £ |
£ |
|
Carrying value of plant and machinery included above held under finance leases and hire purchase contracts |
|
165,688 |
|
165,688 |
|
|
|
|
|
|
|
|
|
|
| 8 |
Stocks |
2024 |
|
2023 |
| £ |
£ |
|
Raw materials and consumables |
14,872 |
|
12,321 |
|
|
|
|
|
|
|
|
|
|
| 9 |
Debtors |
2024 |
|
2023 |
| £ |
£ |
|
Trade debtors |
825,325 |
|
722,603 |
|
Amounts owed by group undertakings and undertakings in which the company has a participating interest |
|
2,048,800 |
|
1,416,800 |
|
Other debtors |
1,946,500 |
|
1,915,792 |
|
|
|
|
|
|
4,820,625 |
|
4,055,195 |
|
|
|
|
|
|
|
|
|
|
Amounts due after more than one year included in: |
|
Amounts owed by group undertakings and undertakings in which the company has a participating interest |
|
2,048,800 |
|
1,416,800 |
|
Other debtors |
1,946,500 |
|
1,915,792 |
|
|
|
|
|
|
3,995,300 |
|
3,332,592 |
|
|
|
|
|
|
|
|
|
|
| 10 |
Creditors: amounts falling due within one year |
2024 |
|
2023 |
| £ |
£ |
|
Other taxes and social security |
|
106,259 |
|
83,782 |
|
Corporation tax |
184,301 |
|
140,376 |
|
Other creditors |
314,090 |
|
236,404 |
|
|
|
|
|
|
604,650 |
|
460,562 |
|
|
|
|
|
|
|
|
|
|
| 11 |
Creditors: amounts falling due after one year |
2024 |
|
2023 |
| £ |
£ |
|
Bank loans |
3,961,150 |
|
3,552,127 |
|
Obligations under finance lease and hire purchase contracts |
108,675 |
|
137,655 |
|
|
|
|
|
|
4,069,825 |
|
3,689,782 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| 12 |
Loans |
2024 |
|
2023 |
| £ |
£ |
|
Loans repayable after five years: |
|
Loans |
3,961,150 |
|
3,552,127 |
|
|
|
|
|
|
|
|
|
|
Analysis of maturity of debt: |
|
After five years |
3,961,150 |
|
3,552,127 |
|
|
|
|
|
|
|
|
|
|
The bank loans are secured by way of debenture and legal charges over the property owned by |
|
the company. |
|
|
| 13 |
Obligations under finance leases and hire purchase |
2024 |
|
2023 |
|
contracts |
£ |
£ |
|
|
Amounts payable: |
|
Within two to five years |
108,675 |
|
137,655 |
|
|
|
|
|
|
|
|
|
|
|
| 14 |
Share capital |
Nominal |
|
2024 |
|
2024 |
|
2023 |
| value |
Number |
£ |
£ |
|
Allotted, called up and fully paid: |
|
Ordinary shares |
£1 each |
|
1,000 |
|
1,000 |
|
1,000 |
|
|
|
|
|
|
|
|
|
|
| 15 |
Other reserves |
2024 |
|
2023 |
|
Revaluation reserve |
£ |
£ |
|
|
Gain on revaluation of land and buildings |
2,955,000 |
|
2,955,000 |
|
|
At 31 October |
2,955,000 |
|
2,955,000 |
|
|
|
|
|
|
|
|
|
|
| 16 |
Profit and loss account |
2024 |
|
2023 |
| £ |
£ |
|
|
At 1 November |
4,503,143 |
|
3,973,288 |
|
Profit for the financial year |
518,893 |
|
529,855 |
|
|
At 31 October |
5,022,036 |
|
4,503,143 |
|
|
|
|
|
|
|
|
|
|
| 17 |
Related party transactions |
|
|
The company transacted with other companies that the the directors hold shares in. See notes 11 and 12 (group, other debtors and other creditors). |
|
|
|
|
|
|
|
| 18 |
Controlling party |
|
|
The directors are the controlling party because they are also the shareholders. |
|
|
| 19 |
Presentation currency |
|
|
The financial statements are presented in Sterling. |
|
|
| 20 |
Legal form of entity and country of incorporation |
|
|
National Care Consortium Limited is a private company limited by shares and incorporated in England. |
|
|
| 21 |
Principal place of business |
|
|
The address of the company's principal place of business and registered office is: |
|
|
Younas House |
|
1 Pelham Court |
|
Pelham Road |
|
Nottingham |
|
NG5 1AP |