REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 AUGUST 2022 |
FOR |
ABBOTSHOLME SCHOOL LIMITED |
REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 AUGUST 2022 |
FOR |
ABBOTSHOLME SCHOOL LIMITED |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 AUGUST 2022 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 5 |
Report of the Independent Auditors | 7 |
Income Statement | 10 |
Other Comprehensive Income | 11 |
Balance Sheet | 12 |
Statement of Changes in Equity | 13 |
Cash Flow Statement | 14 |
Notes to the Cash Flow Statement | 15 |
Notes to the Financial Statements | 16 |
ABBOTSHOLME SCHOOL LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 AUGUST 2022 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants |
and Statutory Auditors |
The Old Bakehouse |
Dove Walk |
Uttoxeter |
Staffordshire |
ST14 8EH |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
STRATEGIC REPORT |
FOR THE YEAR ENDED 31 AUGUST 2022 |
The directors present their strategic report for the year ended 31 August 2022. |
BACKGROUND AND ETHOS |
Abbotsholme School Limited (Abbotsholme) is an independent co-educational boarding and day school set in 150 acres of glorious countryside on the border of Staffordshire and Derbyshire. It has a long and proud history and is renowned for delivering an outstanding education for boys and girls up to the age of 18. The school is inclusive of pupils of a wide range of ability and talents and provides a broad selection of academic and extra-curricular opportunities. The international element within the school creates a platform for pupils to become global citizens and effective contributors within a competitive environment. Abbotsholme is non-selective and has a reputation for good academic results with 73% of pupils achieving A*/C at BTec and A level. The school achieved a 100% pass rate with pupils receiving offers to top universities. Academic study is central for every pupil and will always take priority, but the experiences of for Abbotsholme pupil are never confined only to the classroom. |
Abbotsholme offers a stimulating, personalised curriculum designed to promote the academic achievement and personal development of all pupils in small focused classes from Nursery to Sixth Form, culminating in public examinations at GCSE, BTec and A-Level. Our curriculum includes the core areas of Mathematics, Advanced Mathematics, Sciences, English, English as an additional language, Humanities, Art, Business, Computer Science, Drama, Music, Photography, Psychology, Sport Science, Equestrian, Dance and Agriculture. |
The school tradition of individuality, excellence and community is reflected in the character and disposition of its pupils. At Abbotsholme we inspire our pupils to be the best version of themselves. Learning is a balance between a pupil's intellect, physical, emotional and spiritual needs. Our pupils do well academically, excel on the games field, make inspiring music, develop creativity and challenge themselves through our extensive outdoor education programme. |
Abbotsholme is a member of the Round Square, a network of 200 schools in 50 countries which provides an exceptional opportunity for our pupils to enjoy and benefit from international exchange visits, to appreciate and value the diversity of our international community. |
The school aims to prepare its pupils for the whole of life - to be able to respond to life's challenges and opportunities by giving them a balanced education through a broad academic curriculum and an extensive range of extra-curricular activities in an inspiring setting. The breadth and diversity of opportunity offered to all pupils allows each to develop and achieve their potential. |
Abbotsholme aims to provide: |
- Knowledge to help everyone achieve and succeed to the best of their individual academic ability. |
- An understanding of the natural environment and the importance of protecting it. |
- Physical and intellectual challenges which build strength and test courage, as well as providing a stimulating and enjoyable experience. |
- Cultural and social enrichment to widen perspective and to develop awareness of our responsibilities to others. |
The school is well structured to fulfil these aims. Abbotsholme has a remarkable pool of outstanding teaching, pastoral and coaching staff who ensure that each pupil's needs and aspirations are met. Within fulfilling its ethos and values the directors are conscious of its various key stakeholders and seeks to understand the respective interests of all its stakeholders, parents, staff, pupils and alumnae so that they may be properly considered in the Advisory Board decisions. We do this through various methods, including direct engagement by the board members, the receiving of reports and updates from the members of the school management who engage with such groups, and coverage in the Advisory Board papers of relevant stakeholders interest with regard to proposed courses of action. |
The school continues to position itself through its effective marketing, both locally and internationally, to be a competitive player within the independent sector. The strength of Abbostholme's provision is built on the hard work and commitment of all the dedicated staff. Abbotsholme provides a safe and stable working environment where teaching and support staff contribute to the wider life of the school. |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
STRATEGIC REPORT |
FOR THE YEAR ENDED 31 AUGUST 2022 |
REVIEW OF BUSINESS |
The school commenced the 2021/22 academic year with a roll of 251 pupils (excluding nursery). This is a 16% reduction on pre pandemic levels. |
It has been a challenging year, operational hurdles have presented additional complexities. Inspection related disruptions and the ongoing implications of the emergence from the pandemic have impacted the ability to recruit international pupils and maintain pre pandemic optimal recruitment efficiencies. Despite best efforts to adapt and implement contingency plans, the unpredictability of these circumstances together with cost-of-living pressures on all families, have posted challenges to our day-to-day operations. |
Proactive measures were taken to address these challenges. Stringent cost control measures were implemented, new revenue streams through partnership arrangements with Chinese Schools progressed and operational processes reviewed to enhance productivity and maximise efficiencies. While progress has been made, we continue to actively explore opportunities for growth and diversification to enhance our competitive position within the domestic and international markets. Abbotsholme continues to monitor market trends and adapt to changing needs. The School has formed a number of partnerships with Chinese Schools with the goal of furthering its international growth. The partnerships have proved very successful and are an opportunity for Abbotsholme to expand their brand within the international education market further enhancing its cultural diversity. |
KEY PERFORMANCE INDICATORS |
Total revenue for the financial year falls short of projections primarily due to pupil number projections not being met. Operational expenses have remained relatively consistent, with prudent cost controls strategies in place. The deficit for the financial year amounts to £120k an improvement of on the previous financial year where a deficit of £253k was presented, which was significantly impacted by the Covid pandemic. |
- In the current financial year, the company's turnover has decreased from £6.26m in 2021 to £6.24m in 2022. |
- The gross profit has increased to £916k in 2022 from £640k in 2021. |
- The net deficit before tax has improved from £212k in 2021 to a deficit of £120k in 2022. |
DEBTORS, CREDITORS AND FINANCIAL INSTRUMENTS |
The company endeavours to pay all suppliers within 30 days. Borrowing facilities have been re-negotiated during the last year which has eased the pressure on cash flow. All loan repayments are made in accordance with the terms set out in the agreements. |
The company continues to try to improve debtor collection period to help working capital. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The main risks to the business are: |
Retaining high level teachers and keeping class sizes to an optimum level. |
Pupil recruitment and retention within a competitive market and the challenging financial climate for families. |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
STRATEGIC REPORT |
FOR THE YEAR ENDED 31 AUGUST 2022 |
BUSINESS IN THE FUTURE |
It has remained a challenging year with substantial pressure placed on the cash flow management. |
The company's success and future recruitment opportunities are built on its reputation and its current parents and pupils are the reason that the school exist. It is essential to the school's future that we consistently and continuously offer an attractive high quality package to our customers at an assessable price. In so doing we continue to build our reputation, both locally and internationally. |
The appointment of a new Head of School from September 2023 will provide new opportunities. The School is confident that she will bring invaluable leadership skills, educational expertise, and a fresh perspective to the school. With her appointment, the Board are excited to explore the new opportunities that lie ahead for the school through fostering a culture of continuous improvement |
ON BEHALF OF THE BOARD: |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 AUGUST 2022 |
The directors present their report with the financial statements of the company for the year ended 31 August 2022. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the year under review was that of school curriculum education. |
DIVIDENDS |
No dividends will be distributed for the year ended 31 August 2022. |
EVENTS SINCE THE END OF THE YEAR |
Information relating to events since the end of the year is given in the note 19 to the financial statements. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 September 2021 to the date of this report. |
Other changes in directors holding office are as follows: |
DISCLOSURE IN THE STRATEGIC REPORT |
The exposure of the company and its subsidiary undertakings included in the consolidation to price risk, credit risk, liquidity risk and cash flow risk is set out in the strategic report. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 AUGUST 2022 |
AUDITORS |
The auditors, Wynniatt-Husey Limited (Uttoxeter Branch), will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
ABBOTSHOLME SCHOOL LIMITED |
Opinion |
We have audited the financial statements of Abbotsholme School Limited (the 'company') for the year ended 31 August 2022 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the company's affairs as at 31 August 2022 and of its loss for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Material uncertainty relating to going concern |
We draw attention to note 17 in the financial statements, which indicates that the company made a loss of £120,239 during the period ended 31 August 2022, and of that date, the company's total liabilities exceeded its total assets by £788,473. As stated in note 23, these events or conditions indicate that a material uncertainty exists that may cast significant doubt on the company's ability to continue as a going concern. Our opinion is not modified in respect of this matter. |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Key audit matters |
Except for the matter described in the Material uncertainty relating to going concern section, we have determined that there are no other key audit matters to be communicated in our report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
ABBOTSHOLME SCHOOL LIMITED |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page five, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
As part of an audit in accordance with ISAs (UK), we exercise professional judgement and maintain professional scepticism throughout the audit. |
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. |
We ensured the engagement team had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations. |
We obtained an understanding of the legal and regulatory frameworks within which the company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006 and Taxation legislation. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
ABBOTSHOLME SCHOOL LIMITED |
We assessed the extent of compliance with the laws and regulations identified above, through enquiries of management and inspecting correspondence with HM Revenue & Customs. Remaining alert for instances of non-compliance throughout the audit. We responded to these risks by enquiring of management about their own identification and assessment of the risks including enquiries of management about their own identification and assessment of the risks of irregularities, performing analytical procedures to identify unusual transactions, sample testing journals and investigation the rationale behind significant or unusual transactions, and reviewing estimates for bias. Also agreeing the financial statement disclosures to underlying supporting documentation |
We assessed the susceptibility of the company's financial statements to material misstatement in respect of fraud, by making enquiries of management as to where they considered there was susceptibility to fraud, and knowledge of actual, suspected and alleged fraud. We considered the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. |
We made enquiries of management as to the existence of actual or potential litigation and claims. |
Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations. These inherent limitations are particularly significant in the case of misstatement resulting from fraud as this may involve sophisticated schemes designed to avoid detection, including deliberate failure to record transactions, collusion or the provision of intentional misrepresentations. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Chartered Accountants |
and Statutory Auditors |
The Old Bakehouse |
Dove Walk |
Uttoxeter |
Staffordshire |
ST14 8EH |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
INCOME STATEMENT |
FOR THE YEAR ENDED 31 AUGUST 2022 |
31.8.21 | 31.8.22 |
£ | Notes | £ |
TURNOVER |
( |
) | Cost of sales | ( |
) |
GROSS PROFIT |
( |
) | Administrative expenses | ( |
) |
(412,299 | ) | (175,768 | ) |
Other operating income | 3 |
( |
) | OPERATING LOSS | 5 | ( |
) |
( |
) | Interest payable and similar expenses | 6 | ( |
) |
( |
) | LOSS BEFORE TAXATION | ( |
) |
( |
) | Tax on loss | 7 |
( |
) | LOSS FOR THE FINANCIAL YEAR | ( |
) |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
OTHER COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 31 AUGUST 2022 |
31.8.21 | 31.8.22 |
£ | Notes | £ |
( |
) | LOSS FOR THE YEAR | ( |
) |
- | OTHER COMPREHENSIVE INCOME | - |
( |
) | TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
( |
) |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
BALANCE SHEET |
31 AUGUST 2022 |
31.8.21 | 31.8.22 |
£ | £ | Notes | £ | £ |
FIXED ASSETS |
Intangible assets | 8 |
Tangible assets | 9 |
CURRENT ASSETS |
Stocks | 10 |
Debtors | 11 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 12 |
( |
) | NET CURRENT LIABILITIES | ( |
) |
( |
) | TOTAL ASSETS LESS CURRENT LIABILITIES |
( |
) |
CREDITORS |
Amounts falling due after more than one year |
13 |
( |
) | NET LIABILITIES | ( |
) |
CAPITAL AND RESERVES |
Called up share capital | 16 |
( |
) | Retained earnings | 17 | ( |
) |
( |
) | SHAREHOLDERS' FUNDS | ( |
) |
The financial statements were approved by the Board of Directors and authorised for issue on |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 AUGUST 2022 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 September 2020 | ( |
) | ( |
) |
Changes in equity |
Total comprehensive income | - | ( |
) | ( |
) |
Balance at 31 August 2021 | ( |
) | ( |
) |
Changes in equity |
Total comprehensive income | - | ( |
) | ( |
) |
Balance at 31 August 2022 | ( |
) | ( |
) |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 AUGUST 2022 |
31.8.21 | 31.8.22 |
£ | Notes | £ |
Cash flows from operating activities |
( |
) | Cash generated from operations | 1 | ( |
) |
Government grants |
( |
) | Net cash from operating activities | ( |
) |
Cash flows from investing activities |
Purchase of tangible fixed assets | ( |
) |
Net cash from investing activities | ( |
) |
Cash flows from financing activities |
Intercompany Loan Movements | ( |
) |
Loan repayments in year | ( |
) |
(22,722 | ) | Finance lease | (5,681 | ) |
(1,901 | ) | Loan interest | (27,325 | ) |
277,850 | Amount introduced by directors | 183,743 |
(153,473 | ) | Amount withdrawn by directors | (183,758 | ) |
Net cash from financing activities | ( |
) |
( |
) | Decrease in cash and cash equivalents | ( |
) |
1,221,752 | Cash and cash equivalents at beginning of year |
2 |
572,780 | Cash and cash equivalents at end of year | 2 | 393,234 |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
NOTES TO THE CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 AUGUST 2022 |
1. | RECONCILIATION OF LOSS BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
31.8.22 | 31.8.21 |
£ | £ |
Loss before taxation | ( |
) | ( |
) |
Depreciation charges |
Government grants | ( |
) | ( |
) |
Finance costs | 27,325 | 1,901 |
(51,864 | ) | (259,871 | ) |
Decrease in stocks |
Decrease/(increase) in trade and other debtors | ( |
) |
Decrease in trade and other creditors | ( |
) | ( |
) |
Cash generated from operations | ( |
) | ( |
) |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 August 2022 |
31.8.22 | 1.9.21 |
£ | £ |
Cash and cash equivalents | 393,234 | 572,780 |
Year ended 31 August 2021 |
31.8.21 | 1.9.20 |
£ | £ |
Cash and cash equivalents | 572,780 | 1,221,752 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
At 1.9.21 | Cash flow | At 31.8.22 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 572,780 | (179,546 | ) | 393,234 |
572,780 | ( |
) | 393,234 |
Debt |
Finance leases | (5,681 | ) | 5,681 | - |
Debts falling due within 1 year | (120,000 | ) | - | (120,000 | ) |
Debts falling due after 1 year | (480,000 | ) | 120,000 | (360,000 | ) |
(605,681 | ) | 125,681 | (480,000 | ) |
Total | (32,901 | ) | (53,865 | ) | (86,766 | ) |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 AUGUST 2022 |
1. | STATUTORY INFORMATION |
Abbotsholme School Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Significant judgements and estimates |
The presentation of the financial statements requires judgements, estimations and assumptions to be made that affect the reported values of assets, liabilities, revenue and expenses. The nature of estimation and judgement means that actual outcomes could differ from those estimates. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable recognised by the company in respect of services supplied during the period. |
In the past turnover was always net of pupils remissions, bursaries and scholarships. The company has changed this accounting policy to be in line with FRS 102 section 23 and therefore the income will be shown gross and cost of remissions will be included in cost of sales. |
Tangible fixed assets |
Plant and machinery | - |
Fixtures and fittings | - |
Computer equipment | - |
Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. |
Buildings - 2% straight line on depreciable value ( cost less residual value). |
The freehold land is shown in the accounts at cost and is not depreciated. |
Government grants |
Government grants are recognised when there is reasonable assurance that the entity will comply with the conditions attaching to the grant and the grant will be received. Grants relating to revenue are recognised in income on an accruals basis. |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
All stock movement is expensed to the profit and loss account. |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2022 |
2. | ACCOUNTING POLICIES - continued |
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 of equipment and leasing commitments |
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
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 contributes to a work place defined contribution scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
Intangible assets |
Patents and licences are shown in the accounts at cost and are not amortised as the amounts are not materially different from cost. |
Debtors |
Short term debtors are measured at transaction price, less any impairment. |
Creditors |
Short term creditors are measured at transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method. |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2022 |
2. | ACCOUNTING POLICIES - continued |
Going concern |
The directors expect the company to continue operating on a going concern basis for the next 12 months. Thus the accounts have been prepared on a going concern basis. |
Financial instruments |
Financial instruments are recognised at fair value using a valuation technique with any gains or losses being reported in profit or loss. Outstanding derivatives at reporting date are included under the appropriate format heading depending on the nature of the derivative. |
Payments in advance |
Payments in advance represent sums paid by pupils in advance of their courses which are refundable in whole or in part should they cancel their course. |
Bad debts |
Unpaid amounts contractually owed by pupils may be written off as bad debts in line with the schools bad debt policy. |
Fee deposits |
Fee deposits received are held on the balance sheet and refunded when a student leaves the school. |
3. | OTHER OPERATING INCOME |
Other operating income includes grant income.This was received for the following: |
Coronavirus Job Retention Scheme £1,408 (2021: £64,642) |
Learning skills funding £57,136 (2021: £31,057). |
4. | EMPLOYEES AND DIRECTORS |
31.8.22 | 31.8.21 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
The average number of employees during the year was as follows: |
31.8.22 | 31.8.21 |
Management staff | 4 | 4 |
Support staff | 50 | 50 |
Teaching staff | 62 | 60 |
31.8.22 | 31.8.21 |
£ | £ |
Directors' remuneration |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2022 |
5. | OPERATING LOSS |
The operating loss is stated after charging: |
31.8.22 | 31.8.21 |
£ | £ |
Other operating leases |
Depreciation - owned assets |
Depreciation - assets on finance leases |
Auditors' remuneration |
Non-auditors' remuneration |
6. | INTEREST PAYABLE AND SIMILAR EXPENSES |
31.8.22 | 31.8.21 |
£ | £ |
Bank loan interest |
Leasing |
7. | TAXATION |
Analysis of the tax charge |
The tax charge on the loss for the year was as follows: |
31.8.22 | 31.8.21 |
£ | £ |
Deferred tax |
Tax on loss |
UK corporation tax was charged at 19%) in 2021. |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
31.8.22 | 31.8.21 |
£ | £ |
Loss before tax | ( |
) | ( |
) |
Loss multiplied by the standard rate of corporation tax in the UK of (2021 - |
( |
) |
( |
) |
Effects of: |
Expenses not deductible for tax purposes |
Deferred tax | - | 42,039 |
Loss carried forward for which no deferred tax asset was recognised | 15,992 | 31,554 |
group |
Total tax charge | - | 42,039 |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2022 |
8. | INTANGIBLE FIXED ASSETS |
Patents |
and |
licences |
£ |
COST |
At 1 September 2021 |
and 31 August 2022 |
NET BOOK VALUE |
At 31 August 2022 |
At 31 August 2021 |
The intangible assets are the rights acquired to patents and licences. |
9. | TANGIBLE FIXED ASSETS |
Fixtures |
Freehold | Plant and | and | Computer |
Totals | property | machinery | fittings | equipment |
£ | £ | £ | £ | £ |
COST |
At 1 September 2021 |
Additions |
At 31 August 2022 |
DEPRECIATION |
At 1 September 2021 |
Charge for year |
At 31 August 2022 |
NET BOOK VALUE |
At 31 August 2022 |
At 31 August 2021 |
The freehold land and buildings are shown at cost. The buildings are depreciated at 2% straight line on cost less residual value. The directors believe that the value of the land and property is higher than the original cost. The company continues a relentless program of repairs and renewals each year to keep the buildings to a high standard. |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2022 |
9. | TANGIBLE FIXED ASSETS - continued |
Fixed assets, included in the above, which are held under finance leases are as follows: |
Computer |
equipment |
£ |
COST |
At 1 September 2021 |
Transfer to ownership | (68,166 | ) |
At 31 August 2022 |
DEPRECIATION |
At 1 September 2021 |
Transfer to ownership | (53,287 | ) |
At 31 August 2022 |
NET BOOK VALUE |
At 31 August 2022 |
At 31 August 2021 |
The finance lease on the computer equipment has been repaid in the year, the assets have been transferred to ownership as they now own the assets. |
10. | STOCKS |
31.8.22 | 31.8.21 |
£ | £ |
Stocks |
11. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.8.22 | 31.8.21 |
£ | £ |
Trade debtors |
Bad debt provision | (246,296 | ) | (319,323 | ) |
Prepayments and accrued income |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2022 |
12. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.8.22 | 31.8.21 |
£ | £ |
Bank loans and overdrafts (see note 14) |
Finance leases (see note 15) |
Trade creditors |
Amounts owed to group undertakings |
Escrow Account |
Payments in advance | 874,540 | 898,315 |
Other creditors | 1,973 | 1,266 |
School trips | 14,044 | 12,722 |
Wages control account | 184 | (96 | ) |
Social security and other tax | 53,477 | 151,176 |
Teacher pension control | 33,530 | 38,106 |
Directors' current accounts | 915,322 | 915,337 |
Accrued expenses |
Fee deposits | 412,281 | 338,019 |
Amounts owed to group undertakings in the parent company are unsecured, interest free and are repayable on demand. |
13. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
31.8.22 | 31.8.21 |
£ | £ |
Bank loans (see note 14) |
14. | LOANS |
An analysis of the maturity of loans is given below: |
31.8.22 | 31.8.21 |
£ | £ |
Amounts falling due within one year or on demand: |
Bank loans |
Amounts falling due between one and two years: |
Bank loans - 1-2 years |
Amounts falling due between two and five years: |
Bank loan more than 2 years |
The company received Coronavirus Business Interruption Loan of £600,000 which is carrying interest rate of 4.16%. The first instalment is due in September 2021. The outstanding balance must be repaid in full by 31 July 2026. The loan has CBILS Guarantee which is backed by the UK Government. |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2022 |
15. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Finance leases |
31.8.22 | 31.8.21 |
£ | £ |
Net obligations repayable: |
Within one year |
Non-cancellable operating | leases |
31.8.22 | 31.8.21 |
£ | £ |
Within one year |
Between one and five years |
16. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 31.8.22 | 31.8.21 |
value: | £ | £ |
Ordinary | £1 | 1 | 1 |
17. | RESERVES |
Retained |
earnings |
£ |
At 1 September 2021 | ( |
) |
Deficit for the year | ( |
) |
At 31 August 2022 | ( |
) |
Retained earnings represent cumulative distributable profits net of dividends. |
18. | RELATED PARTY DISCLOSURES |
During the year, no dividends were paid to the directors/shareholders. |
Included in creditors is an amount due to a director of the company amounting to £915,322 (2021: £915,337) which is an interest free loan. Mr C Bao introduced £183,743 and withdrew £183,758 from the company during the year. |
ABBOTSHOLME SCHOOL LIMITED (REGISTERED NUMBER: 11250194) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2022 |
19. | POST BALANCE SHEET EVENTS |
In the school's ISI inspection in March 2022, the inspectors recognised the breadth of opportunity that Abbotsholme offers its pupils and how well the school prioritises pupil welfare, behaviour, health and safety and risk management, which were all identified as strengths of the school. The inspection identified a few areas which required extra attention, specifically the area of systematic record keeping, and the school immediately implemented a comprehensive plan to facilitate the navigation of its records, as well as investing in a robust digital solution for managing records. A further monitoring inspection occurred in November 2022, and a further action plan was successfully implemented. The school then achieved a successful ISI progress monitoring inspection in May 2023. |
The Headmaster, Mr Ruscoe-Price departed Abbotsholme in August 2023, and Mrs Helen Wilkinson assumed the role of Headmistress in September 2023. |
20. | ULTIMATE CONTROLLING PARTY |
The ultimate controlling party is Mr C Bao by virtue of his majority shareholding in Achieve Education Limited. |
21. | ULTIMATE PARENT COMPANY |
Achieve Education Limited owns 100% of the company. Registered office: Chase Grammar School, Convent Close, Cannock, Staffordshire, WS11 0UR. A copy of the parent company's consolidated accounts are available from Companies House. |
22. | CHARGES AND SECURITIES |
There are fixed and floating charges secured against the assets of the company. |
23. | GOING CONCERN |
Total liabilities exceed total assets by £788,473. However, the directors are confident that the company is able to meet its liabilities as they fall due, with the support of the parent company, Achieve Education Limited. The directors agree to subordinate their directors' loans in the group in favour of third party creditors. |