SA & JO Care Limited
Unaudited Financial Statements
For Filing with Registrar
For the year ended 31 August 2018
Company Registration No. 07531263 (England and Wales)
SA & JO Care Limited
Contents
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 6
SA & JO Care Limited
Balance Sheet
As at 31 August 2018
Page 1
2018
2017
Notes
£
£
£
£
Fixed assets
Intangible assets
3
682,500
735,000
Tangible assets
4
1,933,053
1,938,209
2,615,553
2,673,209
Current assets
Debtors
5
10,798
12,019
Cash at bank and in hand
1,626,220
1,530,322
1,637,018
1,542,341
Creditors: amounts falling due within one year
6
(703,300)
(732,780)
Net current assets
933,718
809,561
Total assets less current liabilities
3,549,271
3,482,770
Creditors: amounts falling due after more than one year
7
(1,950,120)
(2,042,263)
Provisions for liabilities
(6,298)
(7,957)
Net assets
1,592,853
1,432,550
Capital and reserves
Called up share capital
8
1
1
Profit and loss reserves
1,592,852
1,432,549
Total equity
1,592,853
1,432,550
SA & JO Care Limited
Balance Sheet (Continued)
As at 31 August 2018
Page 2
The director of the company have elected not to include a copy of the profit and loss account within the financial statements.
true
For the financial year ended 31 August 2018 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
T
he director acknowledges his responsibilities for complying with the requirements of the Act 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.
The financial statements were approved and signed by the director and authorised for issue on 24 May 2019
Mr D S Rai
Director
Company Registration No. 07531263
SA & JO Care Limited
Notes to the Financial Statements
For the year ended 31 August 2018
Page 3
1
Accounting policies
Company information
SA & JO Care Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
6 Oakwood Chase, Hornchurch, Essex, UK, RM11 3JT.
1.1
Accounting convention
These financial statements have been prepared in accordance with Section 1A of 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 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 pound.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
1.2
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for
the provision of residential care for the elderly.
1.3
Intangible fixed assets - goodwill
Goodwill represents the excess of the cost of acquisition of
the assets and undertakings of incorporated and
unincorporated businesses over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated
amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 20 years.
1.4
Tangible fixed assets
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:
Land and buildings Freehold
Nil
Fixtures, fittings & equipment
Straight line over 10 years
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 credited or charged to profit or loss
.
Freehold buildings are maintained at good state of repair and therefore the director is unable to determine the useful economic life. As a result any depreciation on the freehold buildings is considered to be negligible.
1.5
Cash at bank and in hand
Cash at bank and in hand
are basic financial assets
and
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.
SA & JO Care Limited
Notes to the Financial Statements (Continued)
For the year ended 31 August 2018
1
Accounting policies
(Continued)
Page 4
1.6
Financial instruments
The company only has basic financial instruments at amortised cost, with no financial instruments classified as other or basic instrument measured at fair value.
1.7
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.8
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 profit and loss account 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 profit and loss account, 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.
1.9
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
1.10
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was: 48 (2017: 33).
SA & JO Care Limited
Notes to the Financial Statements (Continued)
For the year ended 31 August 2018
Page 5
3
Intangible fixed assets
Goodwill
£
Cost
At 1 September 2017 and 31 August 2018
1,050,000
Amortisation and impairment
At 1 September 2017
315,000
Amortisation charged for the year
52,500
At 31 August 2018
367,500
Carrying amount
At 31 August 2018
682,500
At 31 August 2017
735,000
4
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost
At 1 September 2017
1,895,032
81,977
1,977,009
Additions
-
3,380
3,380
At 31 August 2018
1,895,032
85,357
1,980,389
Depreciation and impairment
At 1 September 2017
-
38,800
38,800
Depreciation charged in the year
-
8,536
8,536
At 31 August 2018
-
47,336
47,336
Carrying amount
At 31 August 2018
1,895,032
38,021
1,933,053
At 31 August 2017
1,895,032
43,177
1,938,209
5
Debtors
2018
2017
Amounts falling due within one year:
£
£
Amounts due from group undertakings
1,272
-
Other debtors
9,526
12,019
10,798
12,019
SA & JO Care Limited
Notes to the Financial Statements (Continued)
For the year ended 31 August 2018
Page 6
6
Creditors: amounts falling due within one year
2018
2017
£
£
Bank loans and overdrafts
93,780
92,566
Trade creditors
9,090
4,496
Amounts due to group undertakings
550,597
550,597
Corporation tax
38,133
75,175
Other taxation and social security
6,943
5,446
Other creditors
4,757
4,500
703,300
732,780
7
Creditors: amounts falling due after more than one year
2018
2017
£
£
Bank loans and overdrafts
1,950,120
2,042,263
8
Called up share capital
2018
2017
£
£
Ordinary share capital
Issued and fully paid
1 Ordinary share of £1 each
1
1
9
Operating lease commitments
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
2018
2017
£
£
Within one year
1,652
-
Between two and five years
5,368
-
7,020
-
10
Related party transactions
At the balance sheet date £550,597 (2017: £550,597) was due to S & A Care Limited, a company under the control of the director Mr D S Rai, which is included within other creditors.