Waypoints (Upton) Limited - Period Ending 2020-12-31

Waypoints (Upton) Limited

Contents

Company Information	1
Balance Sheet	2
Notes to the Financial Statements	3 to 9

Waypoints (Upton) Limited

Company Information

Directors

D Kay D J McAlear T W Street

Registered office

1 Vine Street London W1J 0AH

Auditors

Hazlewoods LLP Windsor House Bayshill Road Cheltenham GL50 3AT

Waypoints (Upton) Limited

(Registration number: 07770601)
Balance Sheet as at 31 December 2020

	Note	2020  £	2019  £
Fixed assets
Tangible assets	5	1,082,731	42,729
Current assets
Debtors	6	1,313,083	736,710
Cash at bank and in hand		28,612	74,838
		1,341,695	811,548
Creditors: Amounts falling due within one year	7	(3,030,009)	(1,218,644)
Net current liabilities		(1,688,314)	(407,096)
Net liabilities		(605,583)	(364,367)
Capital and reserves
Called up share capital		1	1
Shareholder loans		754,098	496,098
Profit and loss account		(1,359,682)	(860,466)
Total equity		(605,583)	(364,367)

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.

Approved and authorised by the Board on 23 June 2021 and signed on its behalf by:
 

 

D J McAlear
Director

Waypoints (Upton) Limited

Notes to the Financial Statements for the Year Ended 31 December 2020

1

General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
1 Vine Street
London
W1J 0AH

2

Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

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

Basis of preparation

These financial statements have been prepared using the historical cost convention except for, where disclosed in these accounting policies, certain items that are shown at fair value.

The presentational currency of the financial statements is Pounds Sterling, being the functional currency of the primary economic environment in which the company operates. Monetary amounts in these financial statements are rounded to the nearest Pound.

Name of parent of group

These financial statements are consolidated in the financial statements of Waypoints Care Group Limited.

The financial statements of Waypoints Care Group Limited may be obtained from Companies House.

Going concern

Notwithstanding the net liability position shown on the balance sheet, the financial statements have been prepared on the going concern basis. The directors have considered the forecast cash flows, bank covenant compliance, and the cash requirements of the business in their assessment of going concern. As a result of this assessment it was concluded that the cash requirements of the business for the 12 months from signing will be met through a combination of operational cash flows and intergroup loans and thus the business is deemed to operate as a going concern.

Judgements and estimation uncertainty

These financial statements do not contain any significant judgements or estimation uncertainty.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts and after eliminating sales within the company. The company recognises revenue when the amount of revenue can be reliably measured, it is probable that future economic benefits will flow to the entity and specific criteria have been met for each of the company's activities.

Government grants

Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants are classified as relating either to revenue or to assets. Grants relating to revenue are recognised in income over the period in which the related costs are recognised. Grants relating to assets are recognised over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income.

Waypoints (Upton) Limited

Notes to the Financial Statements for the Year Ended 31 December 2020

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in the profit and loss account, except that a charge attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

Deferred tax is recognised on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the company. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Fixtures and fittings	25% straight line
Leasehold land and buildings	Over the term of the lease

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade debtors

Trade debtors are amounts due from customers for services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. All trade debtors are repayable within one year and hence are included at the undiscounted cost of cash expected to be received. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the debtors.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and all are repayable within one year and hence are included at the undiscounted amount of cash expected to be paid.

Borrowings

Certain loans from group undertakings are presented as shareholder loans within equity on the basis that the lender has no recourse to demand repayment of, or a fixed rate of return on the loans, which rank pari passu with the ordinary shares of the company.

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.

Waypoints (Upton) Limited

Notes to the Financial Statements for the Year Ended 31 December 2020

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

Waypoints (Upton) Limited

Notes to the Financial Statements for the Year Ended 31 December 2020

Financial instruments

Classification
Financial instruments are classified and accounted for according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Where shares are issued, any component that creates a financial liability of the company is presented as a liability on the balance sheet. The corresponding dividends relating to the liability component are charged as interest expenses in the profit and loss account.

 Recognition and measurement
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

 Impairment
Assets, other than those measured at fair value, are assessed for indicators of impairment at each balance sheet date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss as described below.

A non financial asset is impaired where there is objective evidence that, as a result of one or more events that occurred after initial recognition, the estimated recoverable value of the asset has been reduced. The recoverable amount of an asset is the higher of its fair value less costs to sell and its value in use.

The recoverable amount of goodwill is derived from measurement of the present value of the future cash flows of the cash-generating units ('CGUs') of which the goodwill is a part. Any impairment loss in respect of a CGU is allocated first to the goodwill attached to that CGU, and then to other assets within that CGU on a pro-rata basis.

Where indicators exist for a decrease in impairment loss, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised. Where a reversal of impairment occurs in respect of a CGU, the reversal is applied first to the assets (other than goodwill) of the CGU on a pro-rata basis and then to any goodwill allocated to that CGU.

For financial assets carried at amortised cost, the amount of an impairment is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the financial asset’s original effective interest rate.

For financial assets carried at cost less impairment, the impairment loss is the difference between the asset’s carrying amount and the best estimate of the amount that would be received for the asset if it were to be sold at the reporting date.

Where indicators exist for a decrease in impairment loss, and the decrease can be related objectively to an event occurring after the impairment was recognised, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired financial asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised.
 

Waypoints (Upton) Limited

Notes to the Financial Statements for the Year Ended 31 December 2020

3

Staff numbers

The average number of persons employed by the company (including directors) during the year, was as follows:

	2020  No.	2019  No.
Average number of employees	111	136

4

Taxation

Tax charged/(credited) in the profit and loss account

	2020  £	2019  £
Deferred taxation
Arising from origination and reversal of timing differences	(121,120)	(12,363)

Deferred tax

Deferred tax assets and liabilities

2020	Asset £
Tax losses carried forward	155,126
Fixed asset timing differences	(25,010)
Short term timing differences	3,367
	133,483

2019	Asset £
Tax losses carried forward	12,363
Fixed asset timing differences	-
Short term timing differences	-
	12,363

Waypoints (Upton) Limited

Notes to the Financial Statements for the Year Ended 31 December 2020

5

Tangible assets

	Land and buildings £	Furniture, fittings and equipment  £	Total £
Cost
At 1 January 2020	-	43,815	43,815
Additions	353,285	715,259	1,068,544
At 31 December 2020	353,285	759,074	1,112,359
Depreciation
At 1 January 2020	-	1,086	1,086
Charge for the year	2,492	26,050	28,542
At 31 December 2020	2,492	27,136	29,628
Carrying amount
At 31 December 2020	350,793	731,938	1,082,731
At 31 December 2019	-	42,729	42,729

6

Debtors

	2020  £	2019  £
Trade debtors	506,240	180,245
Amounts due from group undertakings	553,517	497,314
Other debtors	85,000	31,476
Prepayments and accrued income	34,843	15,312
Deferred tax assets	133,483	12,363
	1,313,083	736,710

7

Creditors

	2020  £	2019  £
Due within one year
Trade creditors	109,325	69,853
Amounts due to group undertakings	2,355,886	969,689
Social security and other taxes	26,649	31,321
Outstanding defined contribution pension costs	6,349	8,629
Other creditors	313,585	52,855
Accrued expenses	192,568	86,297
Deferred income	25,647	-
	3,030,009	1,218,644

8

Operating lease commitments

At 31 December 2020, the company had £18,370,238 (2019 - £19,152,375) of operating lease commitments.

Waypoints (Upton) Limited

Notes to the Financial Statements for the Year Ended 31 December 2020

9

Parent and ultimate parent undertaking

The company's immediate parent undertaking is Waypoints Care (Upton) Limited, incorporated in England and Wales.

 The ultimate parent and controlling party is Patron Capital LP V, a limited liability partnership registered in Guernsey.

The parent of the largest group in which these financial statements are consolidated is Waypoints Care Group Limited, incorporated in England and Wales.

10

Disclosure under Section 444(5B) CA 2006 relating to the independent auditor's report

As permitted by Section 444 CA 2006, these accounts do not contain a copy of the company’s Profit and Loss account or a copy of the Directors’ Report. Accordingly, the Independent Auditors’ Report has also been omitted.

The Independent Auditor's Report was unqualified. The name of the Senior Statutory Auditor who signed the audit report on 23 June 2021 was Simon Worsley, who signed for and on behalf of Hazlewoods LLP.