2023-02-28-accounts - Accept Care Limited

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ACCEPT CARE LTD

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 28 FEBRUARY 2023

Notes INCOME AND ENDOWMENTS FROM Donations and legacies 2 Charitable activities 4 Care Services Investment income 3 Total EXPENDITURE ON Charitable activities 5 Care Services NET INCOME/(EXPENDITURE) RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD	Unrestricted funds £ 12,099 3,277,962 13,211 3,303,272 3,397,151 (93,879) 1,179,673 1,085,794	Restricted fund £ - - - - 7,974 (7,974) 7,974 -	2023 Total funds £ 12,099 3,277,962 13,211 3,303,272 3,405,125 (101,853) 1,187,647 1,085,794	2022 Total funds £ 116,680 3,223,626 3,209
				3,343,515
				3,166,668
				176,847 1,010,800
				1,187,647

The notes form part of these financial statements

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ACCEPT CARE LTD (REGISTERED NUMBER: NI047633)

BALANCE SHEET 28 FEBRUARY 2023

Notes FIXED ASSETS Tangible assets 12 CURRENT ASSETS Debtors 13 Cash at bank and in hand CREDITORS Amounts falling due within one year 14 NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES NET ASSETS FUNDS 15 Unrestricted funds Restricted funds TOTAL FUNDS	Unrestricted funds £ 280,018 301,965 1,015,050 1,317,015 (511,239) 805,776 1,085,794 1,085,794	Restricted fund £ - - - - - - - -	2023 Total funds £ 280,018 301,965 1,015,050 1,317,015 (511,239) 805,776 1,085,794 1,085,794 1,085,794 - 1,085,794	2022 Total funds £ 295,536 249,822 1,098,067 1,347,889 (455,778) 892,111 1,187,647 1,187,647 1,179,673 7,974 1,187,647

The financial statements were approved by the Board of Trustees and authorised for issue on 6 October 2023 and were signed on its behalf by:

P Smith - Trustee

The notes form part of these financial statements

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ACCEPT CARE LTD

CASH FLOW STATEMENT FOR THE YEAR ENDED 28 FEBRUARY 2023

Notes Cash flows from operating activities Cash generated from operations 1 Finance costs paid Net cash (used in)/provided by operating activities Cash flows from investing activities Purchase of tangible fixed assets Sale of tangible fixed assets Net cash used in investing activities Change in cash and cash equivalents in the reporting period Cash and cash equivalents at the beginning of the reporting period Cash and cash equivalents at the end of the reporting period	2023 £ (58,371) (2,624) (60,995) (22,022) - (22,022) (83,017) 1,098,067 1,015,050	2022 £ 150,546 (1,909) 148,637 (60,814) 7,119 (53,695) 94,942 1,003,125 1,098,067

The notes form part of these financial statements

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ACCEPT CARE LTD

NOTES TO THE CASH FLOW STATEMENT FOR THE YEAR ENDED 28 FEBRUARY 2023

1. RECONCILIATION OF NET (EXPENDITURE)/INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES

OPERATING ACTIVITIES
Net (expenditure)/income for the reporting period (as per the Statement of Financial Activities) Adjustments for: Depreciation charges Profit on disposal of fixed assets Finance costs Increase in debtors Increase/(decrease) in creditors Net cash (used in)/provided by operations	2023 £ (101,853) 37,540 - 2,624 (52,143) 55,461 (58,371)	2022 £ 176,847 36,900 (4,467) 1,909 (31,496) (29,147)
		150,546

2. ANALYSIS OF CHANGES IN NET FUNDS

Net cash Cash at bank and in hand Total	At 1.3.22 £ 1,098,067 1,098,067 1,098,067	Cash flow £ (83,017) (83,017) (83,017)	At 28.2.23 £ 1,015,050
			1,015,050
			1,015,050

The notes form part of these financial statements

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ACCEPT CARE LTD

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2023

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Income is generated from contracts with the local government and/or NHS Trust to provide health and social care to a number of individuals for an agreed number of hours per a week. Any hours over the contracted amount for a specified purpose (e.g. emergency hospital visits) are invoiced on top of the contracted amount.

Grants are recognised once the charity becomes entitled to the funding and the amount can be measured reliably.

Where there are terms or conditions attached to incoming resources, particularly grants, then these terms or conditions must be met before the income is recognised as the entitlement condition will not be satisfied until that point. Where terms or conditions have not been met or uncertainty exists as to whether they can be met then the relevant income is not recognised in the year but deferred and shown on the balance sheet as deferred income.

Expenditure

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 a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Tangible fixed assets

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

Freehold property	- 2% on cost
Improvements to property	- 10% on cost
Plant and machinery	- 25% on cost
Fixtures and fittings	- 15% on cost
Motor vehicles	- 25% on reducing balance
Computer equipment	- 25% on cost

Items over £250 which have an estimated useful life of 2 years or greater are capitalised within the balance sheet and depreciated.

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

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continued...

ACCEPT CARE LTD

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 28 FEBRUARY 2023

1. ACCOUNTING POLICIES - continued

Going concern

The board recognises the cost of inflation may influence the charity's surplus in the coming year with the ever-increasing overheads and the need for additional support in an extremely competitive labour market. The management team have worked hard to ensure overheads remain low to give employees a competitive salary and to offer investment and training opportunities to ensure the best care is given to clients. Overall, we feel the charity has adequate reserves to absorb the impact and can continue as a going concern.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

Financial Instruments

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 balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

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 present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, other loans, and preference shares that are classified as debt, 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.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business 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.

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continued...

ACCEPT CARE LTD

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 28 FEBRUARY 2023

2022 £ 79 116,601 116,680 2022 £ 116,601 2022 £ 3,209 2022 £ 3,082,415 120,042 21,169	2022 £ 79 116,601	2022 £ 79 116,601
	116,680
	2022 £ 116,601
		2022 £ 3,209
3,223,626
Totals £ 3,405,125
Totals £ 157,062

continued...

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ACCEPT CARE LTD

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 28 FEBRUARY 2023

7. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

8.

Depreciation - owned assets Surplus on disposal of fixed assets AUDITORS' REMUNERATION Fees payable to the charity's auditors for the audit of the charity's financial statements Other non-audit services	2023 £ 37,540 - 2023 £ 5,720 3,567	2022 £ 36,901 (4,467)
		2022 £ 5,400 3,877

9. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 28 February 2023 nor for the year ended 28 February 2022.

During the year the company paid consultancy fees totalling £119,467 (2022: £111,878) to Inspire Insight CIC, a company controlled by a Trustee of the charity and his spouse. This remuneration was paid in respect of services provided to the charity not in connection with the role of Trustee.

Trustees' expenses

There were no trustees' expenses for the year ended 28 February 2023 nor for the year ended 28 February 2022.

10. STAFF COSTS

Wages and salaries Social security costs Other pension costs	2023 £ 2,766,471 226,441 50,292 3,043,204	2022 £ 2,553,772 194,396 45,869
		2,794,037

The average monthly number of employees during the year was as follows:

	2023	2022
Employees	136	134

No employees received emoluments in excess of £60,000.

continued...

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ACCEPT CARE LTD

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 28 FEBRUARY 2023

11. COMPARATIVES FOR THE STATEMENT OF FINANCIAL INCOME AND ENDOWMENTS FROM Donations and legacies Charitable activities Care Services Investment income Total EXPENDITURE ON Charitable activities Care Services NET INCOME RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD 12. TANGIBLE FIXED ASSETS COST At 1 March 2022 Additions At 28 February 2023 DEPRECIATION At 1 March 2022 Charge for year At 28 February 2023 NET BOOK VALUE At 28 February 2023 At 28 February 2022	ACTIVITIES Unrestricted Restricted funds fund £ £ 108,706 7,974 3,223,626 - 3,209 - 3,335,541 7,974 3,166,668 - 168,873 7,974 1,010,800 - 1,179,673 7,974 Improvements Freehold to property property £ £ 158,748 133,974 - 11,269 158,748 145,243 19,293 40,646 3,175 13,435 22,468 54,081 136,280 91,162 139,455 93,328		Total funds £ 116,680 3,223,626 3,209
			3,343,515
			3,166,668
			176,847 1,010,800
			1,187,647
			Plant and machinery £ 28,756 390 29,146 17,001 5,235 22,236 6,910 11,755

continued...

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ACCEPT CARE LTD

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 28 FEBRUARY 2023

12. TANGIBLE FIXED ASSETS - continued

Fixtures and Motor fittings vehicles £ £ COST At 1 March 2022 2,908 50,015 Additions 4,494 - At 28 February 2023 7,402 50,015 DEPRECIATION At 1 March 2022 573 18,416 Charge for year 639 7,899 At 28 February 2023 1,212 26,315 NET BOOK VALUE At 28 February 2023 6,190 23,700 At 28 February 2022 2,335 31,599 13. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Trade debtors Other debtors Prepayments Accrued income 14. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Trade creditors Social security and other taxes Other creditors Accruals and deferred income	Computer equipment £ 25,989 5,869 31,858 8,925 7,157 16,082 15,776 17,064 2023 £ 53,186 1,953 32,922 213,904 301,965 2023 £ 1,738 89,325 383,720 36,456 511,239	Totals £ 400,390 22,022
		422,412
		104,854 37,540
		142,394
		280,018
		295,536
		2022 £ 49,320 - 23,278 177,224
		249,822
		2022 £ 11,354 91,308 318,852 34,264
		455,778

continued...

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ACCEPT CARE LTD

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 28 FEBRUARY 2023

15. MOVEMENT IN FUNDS

Unrestricted funds General fund Building fund Development Centre refurbishment fund Minibus replacement fund Activity Equipment Sustainability fund Emergency fund Restricted funds Staff Wage uplift grant TOTAL FUNDS Net movement in funds, included in the above are Unrestricted funds General fund Building fund Restricted funds Staff Wage uplift grant TOTAL FUNDS	At 1.3.22 £ 537,942 232,783 35,815 70,000 37,133 116,000 150,000 1,179,673 7,974 1,187,647 as follows:	Net movement in funds £ (77,269) (16,610) - - - - - (93,879) (7,974) (101,853) Incoming resources £ 3,303,272 - 3,303,272 - 3,303,272	Transfers between funds £ (27,054) 11,659 (5,815) 10,000 (390) 11,600 - - - - Resources expended £ (3,380,541 ) (16,610) (3,397,151 ) (7,974) (3,405,125 )	At 28.2.23 £ 433,619 227,832 30,000 80,000 36,743 127,600 150,000 1,085,794 - 1,085,794 Movement in funds £ (77,269) (16,610) (93,879) (7,974) (101,853)

continued...

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ACCEPT CARE LTD

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 28 FEBRUARY 2023

15. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Net movement At 1.3.21 in funds £ £ Unrestricted funds General fund 626,358 184,717 Building fund 209,442 (15,844) Development Centre refurbishment fund 75,000 - Minibus replacement fund 60,000 - Activity Equipment 40,000 - Sustainability fund - - Emergency fund - - 1,010,800 168,873 Restricted funds Staff Wage uplift grant - 7,974 TOTAL FUNDS 1,010,800 176,847 Comparative net movement in funds, included in the above are as follows: Incoming resources £ Unrestricted funds General fund 3,335,541 Building fund - 3,335,541 Restricted funds Staff Wage uplift grant 7,974 TOTAL FUNDS 3,343,515	Transfers between funds £ (273,133) 39,185 (39,185) 10,000 (2,867) 116,000 150,000 - - - Resources expended £ (3,150,824 ) (15,844) (3,166,668 ) - (3,166,668 )	At 28.2.22 £ 537,942 232,783 35,815 70,000 37,133 116,000 150,000 1,179,673 7,974 1,187,647 Movement in funds £ 184,717 (15,844) 168,873 7,974 176,847

continued...

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ACCEPT CARE LTD

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 28 FEBRUARY 2023

15. MOVEMENT IN FUNDS - continued

A current year 12 months and prior year 12 months combined position is as follows:

Unrestricted funds General fund Building fund Development Centre refurbishment fund Minibus replacement fund Activity Equipment Sustainability fund Emergency fund TOTAL FUNDS	At 1.3.21 £ 626,358 209,442 75,000 60,000 40,000 - - 1,010,800 1,010,800	Net movement in funds £ 107,448 (32,454) - - - - - 74,994 74,994	Transfers between funds £ (300,187) 50,844 (45,000) 20,000 (3,257) 127,600 150,000 - -	At 28.2.23 £ 433,619 227,832 30,000 80,000 36,743 127,600 150,000
				1,085,794
				1,085,794

A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:

Unrestricted funds General fund Building fund Restricted funds Staff Wage uplift grant TOTAL FUNDS	Incoming resources £ 6,638,813 - 6,638,813 7,974 6,646,787	Resources expended £ (6,531,365 ) (32,454) (6,563,819 ) (7,974) (6,571,793 )	Movement in funds £ 107,448 (32,454)
			74,994 -
			74,994

As well as the general fund, the charity currently maintains six further designated funds, all of these funds are unrestricted:

Building Fund

It is the charity's policy that the development centre, along with any improvements made, are carried in a capital fund to reflect that these funds would only be released if the property was ever sold.

Minibus Fund

The Trustees ringfenced £80,000 to replace the current minibuses with electric minibuses in the coming years. At the balance sheet date £80,000 remains unspent.

Development Centre Refurbishment Fund

The Trustees designated £137,899 to invest in the continued refurbishment of the development centre. During 2021, 2022 and 2023 £107,899 had been spent. At the balance sheet date £30,000 remains unspent.

Activity Equipment

The Trustees designated £40,000 to acquire activity equipment for the development centre to be used by the beneficiaries. During 2022 and 2023 £3,257 had been spent. At the balance sheet date £36,743 remains unspent.

continued...

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ACCEPT CARE LTD

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 28 FEBRUARY 2023

15. MOVEMENT IN FUNDS - continued

Sustainability Fund

The Trustees earmarked £127,600 to the sustainability fund to help reduce the cost of overheads and to help improve our environmental In footprint. At the balance sheet date £127,600 remains unspent.

Emergency Fund

The Trustees had earmarked £150,000 to the Emergency Fund to support the organisation if another pandemic happens. At the balance sheet date £150,000 remains unspent.

16. RELATED PARTY DISCLOSURES

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