REGISTERED NUMBER: 11960965 (England and Wales)

BEECHCROFT HOME LIMITED

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MAY 2025

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

T D Gow-Smith

J K Gow-Smith

REGISTERED OFFICE:

Holmfield

Grafton Road

Torquay

Devon

TQ1 1QJ

REGISTERED NUMBER:

11960965 (England and Wales)

AUDITORS:

WP Audit Services LLP

Chartered Accountant & Statutory Auditor

Chancery House

30 St Johns Road

Woking

Surrey

GU21 7SA

FIXED ASSETS

Intangible assets

5

4,000

5,000

Tangible assets

6

4,359,560

4,468,995

4,363,560

4,473,995

CURRENT ASSETS

Stocks

2,234

1,201

Debtors

7

52,412

57,659

54,646

58,860

CREDITORS

Amounts falling due within one year

8

4,065,354

4,180,730

NET CURRENT LIABILITIES

(4,010,708

)

(4,121,870

)

TOTAL ASSETS LESS CURRENT LIABILITIES

352,852

352,125

PROVISIONS FOR LIABILITIES

10

176,538

186,538

NET ASSETS

176,314

165,587

CAPITAL AND RESERVES

Called up share capital

100

100

Retained earnings

176,214

165,487

176,314

165,587

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 28 May 2026 and were signed on its behalf by:

T D Gow-Smith - Director

1.	STATUTORY INFORMATION

Beechcroft Home Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	STATEMENT OF COMPLIANCE

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention.

The directors’ believe that the company is experiencing good levels of sales growth and profitability, and that it is well placed to manage its business risks successfully. Net current liabilities have been recorded as a result of the fact that the parent company has funded asset purchases through internal cash generation within the group. There is no external debt owed by the company.

Adequate levels of profits and cash are generated year on year in order to meet liabilities as they fall due. Accordingly, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus, they continue to adopt the going concern basis of accounting in preparing the financial statements.

Cary Lodge, a new trading care home, was opened part way through the current year, which has lead to increases in turnover and profitability for the company.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned companies within the group.

Critical accounting judgements and key sources of estimation uncertainty

In the application of the company's accounting policies, management is required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The key estimates made are as follows:

1) Impairment to property

The directors have assessed the value of the property as a whole and feel that the value attributed to it is far in excess of the cost value, based on future generatable profits and revenue levels. On this basis they feel no impairment is considered necessary. The property was in the process of being renovated in the prior year, and this has now been completed. Profit generation has increased in the year, supporting the absence of any impairment requirement.

2) Provisions

The directors have calculated an estimated provision associated with non compliance with laws and regulations. This has been calculated based on the expected maximum liability arising, and has then been adjusted for expected actual payments that may be required. As the total level of the liability is impacted by interpretation of the regulations this is considered to be an appropriate approach.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover represents net invoiced residential care home fees and is recognised per night that a room is occupied.

Turnover is deferred where amounts have been invoiced, but these relate to services to be provided in future periods. Turnover is accrued where amounts have yet to be invoiced, but where the services have been provided in the period to date.

Intangible assets

Intangible assets are solely relating to goodwill. Goodwill relates to the acquisition of the continuing trade from a group company. It was acquired in 2020 and is being written off over it's useful economic life of ten years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off the cost less estimated residual value of each asset over its estimated useful life.

Freehold property - straight line over 50 years

Land - not depreciated

Improvements to property - straight line over 50 years and over 49 years* / **

Fixtures and fittings & computer equipment - 15% on reducing balance

* Some assets classified as improvements to property were transferred from the company's parent company at the end of the year to 31 May 2022 and it was at this point they were all deemed to have had a remaining economic useful life of 49 years. Properties purchased since are considered to have a useful life of 50 years.

** Assets relating to Cary Lodge have now been brought into use in the year and therefore these are also now depreciated over 50 years.

Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses.

Impairment of Assets

At each reporting date fixed assets are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared with its carrying amount. If the estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss if recognised immediately in profit or loss.

If an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but not in excess of the amount that would have been determined had no impairment loss been recognised for the assets in prior years. A reversal of an impairment loss is recognised immediately in profit or loss.

Debtors

Trade and other debtors that are receivable within one year and do not constitute a financing transaction are recorded at the undiscounted amount expected to be received, net of impairment. Those that are receivable after more than one year or that constitute a financing transaction are recorded initially at fair value less transaction costs and subsequently at amortised cost, net of impairment.

Creditors

Trade and other creditors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method unless the effect of discounting would be immaterial, in which case they are stated at cost.

Cash

Cash is held in the parent company on behalf of the company. This company holds petty cash but does not have it's own bank account.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowances for obsolete and slow moving items.

Taxation

Current tax is recognised for the amount of income tax payable in respect of the taxable profit for the current or past reporting periods using the tax rates and laws that have been enacted or substantively enacted by the reporting date.

Deferred tax is recognised in respect of all timing differences at the reporting date, except as otherwise indicated.

Deferred tax assets are only 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. If and when all conditions for retaining tax allowances for the cost of a fixed asset have been met, the deferred tax is reversed.

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

The tax expense (income) is presented either in profit or loss, other comprehensive income or equity depending on the transaction that resulted in the tax expense (income).

Pension costs and other post-retirement benefits

Short- term employee benefits and contributions to defined contribution plans are recognised as an expense in the period in which they are incurred.

Provisions for liabilities

Provisions are recognised when the Company has a present (legal or constructive) obligation as a result of a past event; it is probable that an outflow of resources will be required to settle the obligation; and the amount of the obligation can be estimated reliably.

The amount recognised as a provision is the best estimate of the consideration required to settle the present recognised as a provision is the best estimate of the consideration required to settle the present obligation at the end of the reporting period, taking into account the risks and uncertainties surrounding the obligation.

Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value using a pre-tax discount rate. The unwinding of the discount is recognised as a finance costs in profit or loss in the period it arises.

The Company recognises a provision for annual leave accrued by employees for services rendered in the current period, and which employees are entitled to carry forward and use within the next 12 months, measured at the salary costs payable for the period of absence.

Provisions also comprise an amount that may be payable in relation to liabilities arising from non-compliance with laws and regulations. The provision has been based on an estimated liability. The final amounts will be dependent on the interpretation of the legislation.

Grant income

Income received in relation to grants are classified either as relating to revenue or to assets.

Grants relating to revenue are recognised in other income on a systematic basis over the periods in which the entity recognises the related costs for which the grant is intended to compensate. Where a timing difference arises, the income is held on the balance sheet. When received in arrears the expected income is recognises as a debtor so long as the relevant conditions have been satisfied. When received in advance of costs, the income is held as deferred income and systematically released to the profit and loss in the periods the cost is incurred.

Grants relating to assets are recognised initially as deferred income and released to other income on a systematic basis over the expected useful life of the asset.

4.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 36 (2024 - 30 ) .

5.	INTANGIBLE FIXED ASSETS

Goodwill

£

COST

At 1 June 2024

and 31 May 2025

10,000

AMORTISATION

At 1 June 2024

5,000

Amortisation for year

1,000

At 31 May 2025

6,000

NET BOOK VALUE

At 31 May 2025

4,000

At 31 May 2024

5,000

6.	TANGIBLE FIXED ASSETS

Improvement

Freehold

to

property

Land

property

£

£

£

COST

At 1 June 2024

2,571,000

284,000

1,564,199

Additions

-

-

-

At 31 May 2025

2,571,000

284,000

1,564,199

DEPRECIATION

At 1 June 2024

154,260

-

63,857

Charge for year

51,420

-

31,456

At 31 May 2025

205,680

-

95,313

NET BOOK VALUE

At 31 May 2025

2,365,320

284,000

1,468,886

At 31 May 2024

2,416,740

284,000

1,500,342

Fixtures

and

Computer

fittings

equipment

Totals

£

£

£

COST

At 1 June 2024

285,508

-

4,704,707

Additions

8,879

1,278

10,157

At 31 May 2025

294,387

1,278

4,714,864

DEPRECIATION

At 1 June 2024

17,595

-

235,712

Charge for year

36,524

192

119,592

At 31 May 2025

54,119

192

355,304

NET BOOK VALUE

At 31 May 2025

240,268

1,086

4,359,560

At 31 May 2024

267,913

-

4,468,995

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

£

Tax

-

22,355

Prepayments and accrued income

52,412

35,304

52,412

57,659

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

£

Trade creditors

22,001

31,469

Amounts owed to group undertakings

3,696,599

4,082,704

Taxation and social security

290,509

33,707

Other creditors

56,245

32,850

4,065,354

4,180,730

Amounts owed to group undertakings are unsecured, interest free and repayable on demand.

9.	SECURED DEBTS

The Royal Bank of Scotland PLC has a fixed and floating charge over all the property and undertakings of the company, in relation to a group level facility. This contains a negative pledge.

10.	PROVISIONS FOR LIABILITIES

2025

2024

£

£

Deferred tax

164,000

174,000

Other provisions

12,538

12,538

176,538

186,538

Deferred

Other

tax

provisions

£

£

Balance at 1 June 2024

174,000

12,538

Unused amounts reversed during year

(10,000

)

-

Balance at 31 May 2025

164,000

12,538

Other provisions comprise an estimated amount that may be payable in relation to liabilities arising from historic non-compliance with laws and regulations.

The provision has been based on an estimate and the actual amount payable will be dependent on the interpretation of the legislation and the outcome of the efforts undertaken post year end to resolve the issue.

11.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Mrs S Williams (Senior Statutory Auditor)

for and on behalf of WP Audit Services LLP

12.	ULTIMATE CONTROLLING PARTY

The ultimate controlling party is T D Gow-Smith.

These financial statements contain information about Beechcroft Home Limited as an individual company. It is included by full consolidation in the consolidated financial statements of its immediate and ultimate parent company, Beechcroft Care Homes Limited (Company Number: 06237795). The consolidated accounts of Beechcroft Care Homes Limited can be found at Companies House.