Company Registration No. 05886730 (England and Wales)
GROVE PARK HEALTHCARE GROUP LIMITED
(FORMERLY KNOWN AS 'HAZELDENE HEALTHCARE LIMITED')
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
PAGES FOR FILING WITH REGISTRAR
GROVE PARK HEALTHCARE GROUP LIMITED
(FORMERLY KNOWN AS 'HAZELDENE HEALTHCARE LIMITED')
CONTENTS
Page
Accountants' report
1
Statement of financial position
2 - 3
Notes to the financial statements
4 - 9
GROVE PARK HEALTHCARE GROUP LIMITED
(FORMERLY KNOWN AS 'HAZELDENE HEALTHCARE LIMITED')
CHARTERED ACCOUNTANTS' REPORT TO THE BOARD OF DIRECTORS ON THE PREPARATION OF THE UNAUDITED STATUTORY FINANCIAL STATEMENTS OF GROVE PARK HEALTHCARE GROUP LIMITED FOR THE YEAR ENDED 31 DECEMBER 2021
- 1 -
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Grove Park Healthcare Group Limited for the year ended 31 December 2021 which comprise, the statement of financial position and the related notes from the company’s accounting records and from information and explanations you have given us.
As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at http://www.icaew.com/en/members/regulations-standards-and-guidance
.
This report is made solely to the Board of Directors of Grove Park Healthcare Group Limited, as a body, in accordance with the terms of our engagement
.
Our work has been undertaken solely to prepare for your approval the financial statements of Grove Park Healthcare Group Limited
and state those matters that we have agreed to state to the Board of Directors of Grove Park Healthcare Group Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Grove Park Healthcare Group Limited and its Board of Directors as a body, for
our work or for this report.
It is your duty to ensure that Grove Park Healthcare Group Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets,
liabilities, financial position and loss
of Grove Park Healthcare Group Limited. You consider that Grove Park Healthcare Group Limited is exempt from the statutory audit
requirement for the year.
We have not been instructed to carry out an audit or a review of the financial statements of Grove Park Healthcare Group Limited. For this reason, we have not verified the accuracy or completeness of the
accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.
Carpenter Box
30 September 2022
Chartered Accountants
Amelia House
Crescent Road
Worthing
West Sussex
BN11 1RL
GROVE PARK HEALTHCARE GROUP LIMITED
(FORMERLY KNOWN AS 'HAZELDENE HEALTHCARE LIMITED')
STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2021
31 December 2021
- 2 -
2021
2020
Notes
£
£
£
£
Non-current assets
Property, plant and equipment
4
11,463,107
7,111,859
Investments
5
1
1
11,463,108
7,111,860
Current assets
Trade and other receivables
6
283,856
206,499
Cash and cash equivalents
6,092
6,036
289,948
212,535
Current liabilities
7
(3,613,517)
(2,687,226)
Net current liabilities
(3,323,569)
(2,474,691)
Total assets less current liabilities
8,139,539
4,637,169
Non-current liabilities
8
(8,561,896)
(4,830,160)
Provisions for liabilities
(39,000)
Net liabilities
(461,357)
(192,991)
Equity
Called up share capital
9
2
2
Retained earnings
(461,359)
(192,993)
Total equity
(461,357)
(192,991)
The directors of the company have elected not to include a copy of the income statement within the financial statements.
true
For the financial year ended 31 December 2021 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
T
he members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476
.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
GROVE PARK HEALTHCARE GROUP LIMITED
(FORMERLY KNOWN AS 'HAZELDENE HEALTHCARE LIMITED')
STATEMENT OF FINANCIAL POSITION (CONTINUED)
AS AT 31 DECEMBER 2021
31 December 2021
- 3 -
The financial statements were approved by the board of directors and authorised for issue on 30 September 2022 and are signed on its behalf by:
Mr A S Shookhye
Director
Company Registration No. 05886730
GROVE PARK HEALTHCARE GROUP LIMITED
(FORMERLY KNOWN AS 'HAZELDENE HEALTHCARE LIMITED')
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
- 4 -
1
Accounting policies
Company information
Grove Park Healthcare Group Limited is a
private
company
limited by shares
incorporated in
England and Wales
.
The registered office is
13 Oathall Road, Haywards Heath, West Sussex, RH16 3EG.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in
sterling
, which is the functional currency of the company.
Monetary a
mounts
in these financial statements are
rounded to the nearest £1.
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.
The company has taken advantage of the exemption under section
398
of the
Companies Act 2006 not to prepare consolidated accounts. The
financial statements
present information about the company as an individual entity and not about its group
.
1.2
Going concern
The financial statements have been prepared on a going concern basis. The directors have considered relevant information, including the annual budget, forecast future cash flows and the impact of subsequent events in making their assessment. The COVID-19 pandemic has had a
true
n
impact on the company’s operations. In response to the COVID-19 pandemic, the directors have performed a robust analysis of forecast future cash flows taking into account the potential impact on the business of possible future scenarios arising from the impact of COVID-19
and the fact the company is now trading
. This analysis also considers the effectiveness of available measures to assist in mitigating the impact.
At the year end the company had net current liabilities and is dependent on the ongoing support of the group's bankers. In addition, there is an significant amount owed to a connected group on which the company is also dependant. There is no expectation that amounts owed to this connected group will become payable in the 12 months
from the date of the signing of the financial statements
. The directors have also confirmed that, if required, they will provide financial support to the company.
Based on these assessments and having regard to the resources available to the entity, the directors have concluded that there is no material uncertainty in relation to the appropriateness of continuing to adopt the going concern basis in preparing the annual report and accounts.
1.3
Property, plant and equipment
Property, plant and equipment
are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Freehold land and buildings
Held at fair value
Fixtures and fittings
15% diminishing balance
Computers
15% diminishing balance
GROVE PARK HEALTHCARE GROUP LIMITED
(FORMERLY KNOWN AS 'HAZELDENE HEALTHCARE LIMITED')
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2021
1
Accounting policies
(Continued)
- 5 -
Properties whose fair value can be measured reliably are held under the revaluation model and are carried at a revalued amount, being their fair value at the date of valuation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. The fair value of the land and buildings is usually considered to be their market value.
Revaluations are made with sufficient regularity to ensure that the carrying amount in the financial statements does not differ materially from that which would be determined using the fair value at the end of the reporting period.
No depreciation is charged on
land and buildings
as the assets were under construction during the year
and at the year end
.
Revaluation gains and losses are recognised in other comprehensive income and accumulated in equity, except to the extent that a revaluation gain reverses a revaluation loss previously recognised in profit or loss or a revaluation loss exceeds the accumulated revaluation gains recognised in equity; such gains and losses are recognised in profit or loss.
1.4
Non-current investments
Investments
in subsidiaries
are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.
A subsidiary is an entity controlled by the company
. Control is
the power to govern the financial and operating policies of
the
entity so as to obtain benefits from its activities.
1.5
Impairment of non-current assets
At each reporting
period
end date, the
company
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.
Recoverable amount is the higher of fair value less costs to sell and value in use.
If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount. An impairment loss is recognised immediately in
profit
or
loss
, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset
in
prior years. A reversal of an impairment loss is recognised immediately in
profit
or
loss
, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
1.6
Cash and cash equivalents
Cash and cash equivalents
are basic financial instruments and
include
s
deposits held at call with banks
.
1.7
Financial assets and liabilities
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument.
GROVE PARK HEALTHCARE GROUP LIMITED
(FORMERLY KNOWN AS 'HAZELDENE HEALTHCARE LIMITED')
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2021
1
Accounting policies
(Continued)
- 6 -
The company enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like other accounts receivable and payable
and loans from related parties.
Debt instruments like loans and other accounts receivable and payable are initially measured at the transaction price (including transaction costs
)
and subsequently at amortised cost using the effective interest method; Debt instruments that are payable or receivable within one year are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received.
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire, or when it transfers the financial asset and substantially all the risks and rewards of ownership to another entity. Financial liabilities are derecognised when, and only when, the company’s obligations are discharged, cancelled, or they expire.
1.8
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.9
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the
income statement
because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The
company’s
liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the
income statement
, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the
company
has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
GROVE PARK HEALTHCARE GROUP LIMITED
(FORMERLY KNOWN AS 'HAZELDENE HEALTHCARE LIMITED')
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2021
2
Judgements and key sources of estimation uncertainty
(Continued)
- 7 -
Key sources of estimation uncertainty
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are
as follows.
Fair value of property, plant and equipment
The director's valuation relating to the fair value of property, plant and equipment is based on their use of the professional valuation carried out in October 2019 at £3.1m taking into account any additions, disposals and depreciation since this date.
The additions since this date, up to the year end, have increased this fair value to £11.4m. A more recent professional valuation has taken place in May 2022 of £28.0m, however at 31 December 2021, the Grove Park care home was yet to begin trading and the nursing home was still under construction. As such, it is deemed more appropriate to use this 2019 valuation,
taking into account any additions, disposals
and depreciation since this date, as a basis for calculating fair value at the balance sheet date.
The valuation
s were
carried out in accordance with the 2014 edition of
The Royal
Institution of Chartered Surveyors
valuation manual by Savills, an independent firm of Chartered Surveyors
with a recognised
and relevant professional qualification and with recent experience in the location and category of
the
property, plant and equipment
being valued
. The valuation was made on the basis of existing condition as a vacant premises with planning consent for a care home in line with Section 27 of FRS 102.
3
Employees
In both the current and comparative periods, the company did not have any employees (excluding directors).
4
Property, plant and equipment
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost or valuation
At 1 January 2021
7,111,859
7,111,859
Additions
4,326,031
26,067
4,352,098
At 31 December 2021
11,437,890
26,067
11,463,957
Depreciation and impairment
At 1 January 2021
Depreciation charged in the year
850
850
At 31 December 2021
850
850
Carrying amount
At 31 December 2021
11,437,890
25,217
11,463,107
At 31 December 2020
7,111,859
7,111,859
The directors have valued property, plant and equipment as disclosed in note 2.
There are fixed and floating charges held over the freehold land and buildings by the company's bankers.
GROVE PARK HEALTHCARE GROUP LIMITED
(FORMERLY KNOWN AS 'HAZELDENE HEALTHCARE LIMITED')
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2021
4
Property, plant and equipment
(Continued)
- 8 -
The following assets are carried at valuation. If the assets were measured using the cost model, the carrying amounts would be as follows:
2021
2020
£
£
Cost
12,002,346
7,676,315
5
Fixed asset investments
2021
2020
£
£
Investments
1
1
Movements in non-current investments
Shares in group undertakings
£
Cost or valuation
At 1 January 2021 & 31 December 2021
1
Carrying amount
At 31 December 2021
1
At 31 December 2020
1
6
Trade and other receivables
2021
2020
Amounts falling due within one year:
£
£
Amounts owed by group undertakings
105,130
Other receivables
117,556
101,369
117,556
206,499
Deferred tax asset
166,300
283,856
206,499
Amounts owed by group undertakings have no terms and are therefore repayable on demand. Whilst the classification as current assets reflects the contractual nature of the loans, the company does not seek repayment of these loans until a subsidiary is financially able to do so.
GROVE PARK HEALTHCARE GROUP LIMITED
(FORMERLY KNOWN AS 'HAZELDENE HEALTHCARE LIMITED')
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2021
- 9 -
7
Current liabilities
2021
2020
£
£
Trade payables
12,449
6,001
Amounts owed to group undertakings
576,592
Other payables
3,024,476
2,681,225
3,613,517
2,687,226
Amounts owed
to
group undertakings have no terms and are therefore repayable on demand. Whilst the classification as current assets reflects the contractual nature of the loans, the company does not seek repayment of these loans until a subsidiary is financially able to do so.
8
Non-current liabilities
2021
2020
£
£
Bank loans and overdrafts
8,500,000
4,768,264
Other payables
61,896
61,896
8,561,896
4,830,160
The bank loans are secured by
a fixed and
floating charge over the
freehold land and buildings in the company
. The directors Mr A Shookhye and Mrs M Shookhye have also provided a personal guarantee of £8,500,000.
The rate of interest payable on this bank loan is 4.0% plus the LIBOR rate.
9
Called up share capital
2021
2020
2021
2020
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
2
2
2
2
The Company's ordinary shares, which carry no right to fixed income, each carry the right to one vote at general meetings of the Company.
10
Events after the reporting date
In May 2022 the nursing home that was under construction at the statement of financial position date was completed and began trading.
10
Related party transactions
At the year end a balance of £
2,449,852
(20
20
- £2,428,658), included within other payables, was owed to three connected companies.
During the year recharges were made to these companies of £23,055 (2020 - £Nil). These companies are connected through common ownership.
2021-12-31
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false
30 September 2022
CCH Software
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Mr A S Shookhye
Mrs M B Shookhye
Mrs M B Shookhye
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