Frontclever Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 02510407 (England and Wales)

Unaudited Financial Statements for the Year Ended 29 May 2021

for

Frontclever Limited

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTOR:

Mrs N J Richards

SECRETARY:

Mrs N J Richards

REGISTERED OFFICE:

379 Earl Marshall Road

Sheffield

South Yorkshire

S4 8FA

REGISTERED NUMBER:

02510407 (England and Wales)

ACCOUNTANTS:

SMH Haywood & Co Limited

24-26 Mansfield Road

Rotherham

South Yorkshire

S60 2DT

FIXED ASSETS

Tangible assets

3

1,721,682

1,701,157

CURRENT ASSETS

Stocks

2,500

2,500

Debtors

4

142,633

77,662

Cash at bank and in hand

62,567

80,982

207,700

161,144

CREDITORS

Amounts falling due within one year

5

768,487

795,939

NET CURRENT LIABILITIES

(560,787

)

(634,795

)

TOTAL ASSETS LESS CURRENT LIABILITIES

1,160,895

1,066,362

PROVISIONS FOR LIABILITIES

3,452

-

NET ASSETS

1,157,443

1,066,362

CAPITAL AND RESERVES

Called up share capital

7

100

100

Revaluation reserve

8

558,587

558,587

Retained earnings

598,756

507,675

SHAREHOLDERS' FUNDS

1,157,443

1,066,362

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 29 May 2021.

The members have not required the company to obtain an audit of its financial statements for the year ended 29 May 2021 in accordance with Section 476 of the Companies Act 2006.

The director acknowledges her responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

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 director and authorised for issue on 14 December 2021 and were signed by:

Mrs N J Richards - Director

1.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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. The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Tangible fixed assets

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

Plant and machinery etc

-

25% on reducing balance and 15% on reducing balance

Stocks

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

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

2.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 56 (2020 - 63 ) .

3.	TANGIBLE FIXED ASSETS

Plant and

Land and

machinery

buildings

etc

Totals

£

£

£

COST OR VALUATION

At 30 May 2020

1,700,000

17,187

1,717,187

Additions

-

24,003

24,003

At 29 May 2021

1,700,000

41,190

1,741,190

DEPRECIATION

At 30 May 2020

-

16,030

16,030

Charge for year

-

3,478

3,478

At 29 May 2021

-

19,508

19,508

NET BOOK VALUE

At 29 May 2021

1,700,000

21,682

1,721,682

At 29 May 2020

1,700,000

1,157

1,701,157

Cost or valuation at 29 May 2021 is represented by:

Plant and

Land and

machinery

buildings

etc

Totals

£

£

£

Valuation in 2007

2,158,587

-

2,158,587

Valuation in 2019

(1,600,000

)

-

(1,600,000

)

Cost

1,141,413

41,190

1,182,603

1,700,000

41,190

1,741,190

If revalued assets had not been revalued they would have been included at the following historical cost:

2021

2020

£

£

Cost

1,141,413

1,141,413

Aggregate depreciation

331,009

319,595

Valuations were carried out in November 2019 by Cushman & Wakefield. The directors do not consider the value at 29 May 2021 to be materially different to the above professional valuation.

The company is party to cross guarantee agreements covering certain group commitments and liabilities. There is formal security over the company's assets.

4.

DEBTORS

2021

2020

£

£

Amounts falling due within one year:

Trade debtors

(9,838

)

(42,506

)

Amounts owed by group undertakings

143,465

115,574

Other debtors

9,006

4,000

142,633

77,068

Amounts falling due after more than one year:

Deferred tax

-

594

Aggregate amounts

142,633

77,662

5.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2021

2020

£

£

Trade creditors

13,473

47,812

Amounts owed to group undertakings

558,259

587,246

Taxation and social security

61,944

19,300

Other creditors

134,811

141,581

768,487

795,939

6.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

2021

2020

£

£

Within one year

2,681

5,290

7.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2021

2020

value:

£

£

100

Ordinary

£1

100

100

8.

RESERVES

Revaluation

reserve

£

At 30 May 2020

and 29 May 2021

558,587

9.	OTHER FINANCIAL COMMITMENTS

The company has entered into a collateral guarantee in respect of the parent company's bank borrowings. At the balance sheet date the relevant debt amounted to £7,414,665 (2020 - £7,164,665).

The bank has security over the assets of the company.

10.	RELATED PARTY DISCLOSURES

The company has taken advantage of the exemption from disclosure of transactions with other members of the group where they are wholly owned within the group.

At the year end, included within trade creditors is a balance of £Nil (2020 - £9,705) owed to Heritage Oaks Healthcare Limited. This company is under the control of the director.

During the year, loans owed totalling £128,672 (2020 - £Nil) from various related companies under the

control of the directors were written off.

11.	POST BALANCE SHEET EVENTS

The Administrators have requested payment of the amount due to Pullever Ltd. The balance of £150,038 will be settled shortly.

Having engaged with new advisors in February 2021, the Company entered into discussions with Barclays Bank PLC in relation to the Group Debt Facility that was subject to a covenant breach and therefore repayable on demand. The Company has now received credit approved terms from the bank, which on legal completion will secure a renewed 4 year Group debt facility that will enable the Company to continue as a going concern.

12.	ULTIMATE CONTROLLING PARTY

The company's immediate parent undertaking is Palms Row Healthcare Limited.

The ultimate controlling party is N Richards who owns 100% of the share capital of Palms Row Healthcare Holdings Limited. Palms Row Healthcare Holdings Limited is the parent company of Palms Row Healthcare Limited.