Florabank Christian Care Home often described as a “home from home” by residents and their relatives continues to provide quality care in a Christian environment. With a low staff turnover, good loving friendships develop between carers and those being cared for.
Since local authorities face challenges nationally with funding, the care sector continues to be allocated insufficient payment to provide basic care. We therefore have found the need to increase the charges for self funded residents, these higher fees although regrettable are required to keep Florabank from a loss making situation. High occupancy along with gifts and the two new bedrooms which were an internal conversation are the key to future profitability.
Rental fee from a house conversion in our grounds also generates welcome funds.
Activities continue to be central to the care and wellbeing of residents. Our large grassed garden and wheelchair access flower and vegetable beds allow residents the opportunity to spend time outdoors in good weather. Bible studies and a Thursday evening meeting for singing and a Bible message are attended by many. There is also a varied number of in house activities and trips out to various places in our minibus all of which are much appreciated.
As a board we are thankful to God for his continued guidance and for our dedicated staff who enable us to provide safe and comfortable care for elderly Christians as they enjoy fellowship together.
The directors present their annual report and financial statements for the year ended 28 February 2026.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's Memorandum and Articles, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended), the Companies Act 2006 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2019)
Florabank care home was set up in 1984 and exists to provide residential care for elderly Christians in an atmosphere of love, peace and quiet serenity where Jesus is acknowledged as Lord.
The Christian aspect of the home is most important and the Directors are all active Christians as are a number of the staff. There are weekly services held in the home and daily readings and comments from the Bible at lunch times. A group of residents also have a weekly Bible study. While the happy atmosphere in the home is distinctly Christian, the home is available to all.
We are recognised as a “Care Home for Life” and our aim is to provide excellent care for our 24 residents. We have again had a high level of occupancy this year, and much of this has been with ‘self-funded’ residents. Whilst we always look to fill any vacancies as they arise in a timely manner, we do try and balance this with being able to offer respite care, especially to those who may well come into the home on a permanent basis in time.
A report from the Chairman is set out on the previous page.
For private funded residents we introduced a new fee structure to better reflect the space and amenities of the rooms. This should generate a higher income over time.
A recent report from the Care Inspectorate scored us as Grade 5 - Very Good - and included the following quotations -
People living at Florabank experienced consistently kind and thoughtful interactions with staff. Low staff turnover meant that staff and people living at the care home and their families knew each other well. This helped build strong trusting relationships.
Many people enjoyed the range of interesting activities on offer. We saw that, even those who chose not to take part could benefit from the liveliness around them. Family members and friends were welcomed and able to visit easily throughout the day. Communication with families was proactive and effective, with relatives kept well informed about their loved one's wellbeing. We found that there was a culture of mutual respect and interest which made people feel valued.
A visiting professional shared their view that: "Florabank staff and management are professional, caring and residents appear to be valued and well cared for".
Investment Policy
The Charity maintains its working capital in a bank current account. When funds exceed working capital requirements these amounts are transferred into an interest bearing deposit account.
The results for the year are set out on page 10 of the Accounts. The Charity made a deficit in the year of £24,499 (2025 - £156,486 Surplus).
Reserves Policy and going concern
The Charity’s unrestricted funds consist largely of investment in the fixed assets comprising the care home, together with working capital sufficient to meet the running costs of the Charity for a minimum of six months of £640,808. The balance on the unrestricted funds at 28 February 2026 was £2,219,690. Excluding the value of fixed assets, the charity has net assets of £348,168 which mostly comprises cash reserves therefore there are no going concern issues at this time. Given the level of reserves and the cash element of reserves the directors are confident that the charity will be able to continue with its activities for many years to come.
Principal Funding Source
The principal funding source continued to be that of fees received from residents. The Charity also receives grants and donations from benefactors who relate to the Charity’s objectives.
Risk Management
The Directors have assessed the major risks to which the charity is exposed, in particular, those related to the operations and finances of the charity, and are satisfied that systems are in place to mitigate exposure to the major risks.
Attention has also been focussed on non-financial risks arising from fire, health and safety and food hygiene. These risks are managed by ensuring accreditation is up to date, having robust policies and procedures in place, and regular awareness training for staff.
The Charity will continue to invest available funds in the maintenance and refurbishment of the care home in order to continue the provision of this service to elderly Christians.
Florabank Home Limited is a company limited by guarantee governed by its Memorandum and Articles of Association dated 27 November 1996. It is registered as a Charity with the Scottish Charity Regulator (number SC025516). The liability of each member of the charity in the event of its winding up is limited to £1.
The directors who served during the year and up to the date of signature of the financial statements were:
Secretary Mr E Bryson
Charity number SC025516
Company number SC170166
Registered office Florabank Home Limited
18 Florabank Road
Haddington
EH41 3LR
Auditor Thomson Cooper
3 Castle Court
Carnegie Campus
Dunfermline
Fife
KY11 8PB
Appointment of trustees
Directors and office bearers are required to stand for re-election to the Board on an annual basis at the Annual General Meeting. The induction and training of the Directors is carried out during their term of service.
At an Annual General Meeting the Charity may elect as a new Director any member who has given notice of their willingness to accept the appointment in accordance with the company’s Articles of Association. The Directors may at any time appoint any member or the nominated representative of any organisation which is a member to be a Director either to fill a vacancy or as an additional Director.
Pay policy for senior staff
The salaries for all care home staff, including the Care Home Manager, are set by the board on an annual basis and are in line with the National Care Home Contract.
The directors, who also act as trustees for the charitable activities of Florabank Home Limited, are responsible for preparing the Directors' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company Law requires the directors to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.
In preparing these financial statements, the directors are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable UK 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 charity will continue in operation.
The directors are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The directors are responsible for the maintenance and integrity of the charity and financial information included on the charity's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
In accordance with the company's articles, a resolution proposing that Thomson Cooper be reappointed as auditor of the company will be put at a General Meeting.
The directors' report was approved by the Board of Directors.
Opinion
We have audited the financial statements of Florabank Home Limited (the ‘charity’) for the year ended 28 February 2026 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including 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:
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 charity 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.
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 charity’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 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.
We have nothing to report in respect of the following matters in relation to which the Charities Accounts (Scotland) Regulations 2006 requires us to report to you if, in our opinion:
the information given in the financial statements is inconsistent in any material respect with the directors' report; or
proper accounting records have not been kept; or
the financial statements are not in agreement with the accounting records; or
we have not received all the information and explanations we require for our audit.
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.
Extent to which the audit was capable of detecting irregularities, including fraud
We considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas: existence and timing of recognition of income and the manipulation and posting of unusual journals. We discussed these risks with management and designed audit procedures to test the timing and existence of revenue and reviewed areas of judgement to identify indicators of management bias.
We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our sector experience through discussion with the officers and other management (as required by the auditing standards).
We reviewed the laws and regulations in areas that directly affect the financial statements including financial and taxation legislation and considered the extent of compliance with those laws and regulations as part of our procedures on the related financial statement items.
With the exception of any known or possible non-compliance with relevant and significant laws and regulations, and as required by the auditing standards, our work in respect of these was limited to enquiry of the officers and management of the company.
We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit.
Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non compliance and cannot be expected to detect non compliance with laws and regulations.
These inherent limitations are particularly significant in the case of misstatement resulting from fraud as this may involve sophisticated schemes designed to avoid detection, including deliberate failure to record transactions, collusion or the provision of intentional misrepresentations.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: http://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
Use of our report
This report is made solely to the charity’s trustees, as a body, in accordance with Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charity’s trustees 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 charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
Florabank Home Limited is a private company limited by guarantee incorporated in Scotland. The registered office is Florabank Home Limited, 18 Florabank Road, Haddington, EH41 3LR.
The financial statements have been prepared in accordance with the charity's Memorandum and Articles of Association, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended), the Companies Act 2006 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties at fair value. The principal accounting policies adopted are set out below.
At the time of approving the financial statements, the directors have a reasonable expectation that the charity has adequate resources to continue in operational existence for the next 12 months. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements. The directors have considered a period of 12 months from the date of approval of the financial statements.
Unrestricted funds are available for use at the discretion of the directors in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount.
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that settlement will be required and the amount of the obligation can be measured reliably.
All expenditure is accounted for on an accruals basis. All expenses, including support costs and governance costs, are allocated or apportioned to the applicable expenditure headings in the statement of financial activities.
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:
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 recognised in the statement of financial activities.
Assets costing less than £2,000 are not capitalised in the balance sheet.
Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. The surplus or deficit on revaluation is recognised in profit or loss.
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
Cash and cash equivalents 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.
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 using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities 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.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Employees of the Charity are entitled to join the pension scheme, payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. The scheme is funded by contributions from employee and employer.
Support Costs
Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include back office costs, finance, and governance costs which support the charity. The bases on which support costs have been allocated are that of a project or activity percentage basis.
Legal status of the charity
The organisation is a charitable company limited by guarantee and has no share capital. In the event of the company being wound up each member is obliged to contribute an amount not exceeding £1.
Nursing home income
The company initially identifies the costs of its support functions. It then identifies those costs which relate to the governance function. Having identified its governance costs, the remaining support costs are apportioned between the key charitable activities undertaken (see note 7) in the year. Refer to the accounting policy for the basis of apportionment and the analysis of support and governance costs. The costs are allocated on a direct basis.
The average monthly number of employees during the year was:
The charity was liable for contributions to employees' personal pension plans totalling £14,491 (2025 - £14,289) in the year. At 28 February 2026 outstanding contributions totalled £2,793 (2025 - £2,406). Pension costs are allocated to activities in proportion to the related staff costs incurred.
The Key Management Personnel comprise the directors. The total employee benefits of the Key Management Personnel of the charity were £nil. (2025 - nil).
No members of the Board or trustees received remuneration or reimbursed expenses during the year (2025 - nil).
As the company is recognised by the Inland Revenue as a charity, there is no liability to taxation.
All of the company’s fixed assets are used in the furtherance of the charity’s charitable activities.
A valuation was undertaken by DM Hall Chartered Surveyors on 13 August 2021 which provided a valuation of £1,200,000.
Investment property comprises a detached bungalow. The fair value of the investment property has been arrived at on the basis of a valuation carried out at 5th February 2025 by Allied Surveyors Scotland Ltd Chartered Surveyors, who are not connected with the charity. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.
The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.
The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.
D Third - Donation was received for staff
Ipad - £3,000 was received to purchase interactive tablets.
The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used.
At the reporting end date the charity had contracted with tenants for the following minimum lease payments:
There were no disclosable related party transactions during the year (2025 - none).