Caseware UK (AP4) 2023.0.135 2023.0.135 2024-03-312024-03-312023-04-01true160truetruetruetruefalseThe principal activity of the Company throughout the year continued to be thjat of a recruitment company and employment business in the provision of supplying recruitment solutions of white collar technical, blue collar professional and general staffing within the process engineering, automotive, industrial automation, energy and commercial sectors.129truefalsefalse 07987343 2023-04-01 2024-03-31 07987343 2022-04-01 2023-03-31 07987343 2024-03-31 07987343 2023-03-31 07987343 3 2023-04-01 2024-03-31 07987343 3 2022-04-01 2023-03-31 07987343 4 2023-04-01 2024-03-31 07987343 4 2022-04-01 2023-03-31 07987343 6 2023-04-01 2024-03-31 07987343 6 2022-04-01 2023-03-31 07987343 d:CompanySecretary1 2023-04-01 2024-03-31 07987343 d:Director1 2023-04-01 2024-03-31 07987343 d:Director2 2023-04-01 2024-03-31 07987343 d:Director3 2023-04-01 2024-03-31 07987343 d:RegisteredOffice 2023-04-01 2024-03-31 07987343 d:Agent1 2023-04-01 2024-03-31 07987343 e:OfficeEquipment 2023-04-01 2024-03-31 07987343 e:OfficeEquipment 2024-03-31 07987343 e:OfficeEquipment 2023-03-31 07987343 e:OfficeEquipment e:OwnedOrFreeholdAssets 2023-04-01 2024-03-31 07987343 e:CurrentFinancialInstruments 2024-03-31 07987343 e:CurrentFinancialInstruments 2023-03-31 07987343 e:CurrentFinancialInstruments e:WithinOneYear 2024-03-31 07987343 e:CurrentFinancialInstruments e:WithinOneYear 2023-03-31 07987343 e:ReportableOperatingSegment1 2023-04-01 2024-03-31 07987343 e:ReportableOperatingSegment1 2022-04-01 2023-03-31 07987343 e:UKTax 2023-04-01 2024-03-31 07987343 e:UKTax 2022-04-01 2023-03-31 07987343 e:ShareCapital 2024-03-31 07987343 e:ShareCapital 2023-03-31 07987343 e:RetainedEarningsAccumulatedLosses 2023-04-01 2024-03-31 07987343 e:RetainedEarningsAccumulatedLosses 2024-03-31 07987343 e:RetainedEarningsAccumulatedLosses 2022-04-01 2023-03-31 07987343 e:RetainedEarningsAccumulatedLosses 2023-03-31 07987343 e:RetainedEarningsAccumulatedLosses 2022-04-01 07987343 d:OrdinaryShareClass1 2023-04-01 2024-03-31 07987343 d:OrdinaryShareClass1 2024-03-31 07987343 d:OrdinaryShareClass1 2023-03-31 07987343 d:FRS102 2023-04-01 2024-03-31 07987343 d:Audited 2023-04-01 2024-03-31 07987343 d:FullAccounts 2023-04-01 2024-03-31 07987343 d:PrivateLimitedCompanyLtd 2023-04-01 2024-03-31 07987343 f:PoundSterling 2023-04-01 2024-03-31 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 07987343










ON LINE PEOPLE LIMITED










ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2024

 
ON LINE PEOPLE LIMITED
 
 
COMPANY INFORMATION


Directors
J Laird 
S A Laird 
J Fox 




Company secretary
J Fox



Registered number
07987343



Registered office
On Line House
Pelham Road

Immingham

North East Lincolnshire

DN40 1AB




Independent auditors
Shorts
Chartered Accountants & Statutory Auditor

Cedar House

63 Napier Street

Sheffield

South Yorkshire

S11 8HA




Bankers
Barclays Bank PLC
35 Victoria Street

Grimsby

North East Lincolnshire

DN31 1DE





 
ON LINE PEOPLE LIMITED
 

CONTENTS



Page
Strategic Report
 
1 - 2
Directors' Report
 
3 - 5
Independent Auditors' Report
 
6 - 9
Statement of Income and Retained Earnings
 
10
Balance Sheet
 
11
Notes to the Financial Statements
 
12 - 21

 
ON LINE PEOPLE LIMITED
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2024

The directors present their strategic report for the year ended 31 March 2024.

Principal activity
 
The principal activity of the Company is recruitment and the provision of recruitment solutions within the engineering, industrial automation, energy, and commercial sectors.

Business review
 
During the year ended 31 March 2024 the Company’s turnover reduced by 7% following a downturn in activity whilst maintaining gross margins of 6.7%.
The Company has shown a net profit reduction to £27,018 (2023 net profit £97,605), due to activity reduction. Investment in the team structure in the latter part of the year as well and improvements to operating systems are forecast to drive improvements to the activity in the year to come.
The Company has continued to provide quality services to its blue-chip customer base throughout the year and considers the strength of its existing contracts key to future development and growth.

Financial key performance indicators
 
The Company’s key performance indicators for the year (along with comparatives) are as follows:

- Turnover - £13,156,952 (2023: £14,157,209)
- Gross profit - £887,913 (2023: £945,588)
- Gross margin - 6.7% (2023: 6.7%)
- Profit before tax - £27,018 (2023: £120,083)

Prinicipal risks and uncertainties
 
Due to the trading style and nature of the business and its interaction with the Group, the directors consider the principal risks to the business to be relatively low.

Strategic and Regulatory risks
The directors consider the customers changing needs to be both opportunity and risk in a competitive market. 

The directors monitor market intelligence and draw upon industry expertise to ensure these risks are mitigated and the brand is maintained. The Company is also registered with industry specific regulatory bodies which enables the ongoing adherence to the highest standards.

Financial and liquidity risks
The Company’s principal financial assets are trade debtors. The risk associated with cash is limited and the counterparties have strong credit ratings which are checked and monitored by the finance team provide realistic credit limits and implementing control procedures to monitor non-compliance. Any indicators that a liquid assets is at risk are addressed immediately and efficiently.

The Company manages financial risk within a group financing policy ensuring sufficient liquidity against working capital requirements.

Page 1

 
ON LINE PEOPLE LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024


This report was approved by the board on 13 August 2024 and signed on its behalf.



S A Laird
Director
Page 2

 
ON LINE PEOPLE LIMITED
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2024

The directors present their report and the financial statements for the year ended 31 March 2024.

Directors

The directors who served during the year were:

J Laird 
S A Laird 
J Fox 

Directors' responsibilities statement

The directors are responsible for preparing the Strategic Report, the Directors' Report 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Company's financial statements and then apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;

state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Results and dividends

The profit for the year, after taxation, amounted to £27,018 (2023 - £97,605).

Page 3

 
ON LINE PEOPLE LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024

Financial instruments

The Company uses financial instruments, other than derivatives, comprising cash and other liquid resources and various other items such as trade debtors and creditors that arise directly from its operations. The main purpose of these financial instruments is to raise finance for the Company's operations.

The main risk arising from the Company's financial instruments is liquidity risk. The directors review and agree policies for managing the risk and they are summarised below. The policy has remained unchanged from previous years.

Price risk, credit risk, liquidity risk and cash flow risk

The market has become increasingly competitive in recent years and as a result there is a constant requirement to communicate both with the client and the current workforce in order to ensure both client satisfaction and workforce stability. This is achieved by the Company's professionalism and maintaining the flexibility to react to the clients' requirements. This approach sets the Company above the competition and hence maintains market share. The directors remain vigilant in order to ensure that the Company is aware of any weaknesses that would give competitors an advantage.

As the economic climate improves and clients' requirements increase, the Company needs to be responsive and increase personnel levels at short notice.

The Company's principal financial assets are cash and trade debtors. The credit risk associated with the cash is limited as the counterparties have high credit ratings by international credit-rating agencies. The principal credit risk arises therefore from the Company's trade debtors.

A visible effect of the difficult economic climate has been an increase in the payment days taken by clients. Fortunately the majority of clients are blue chip and not liable to default, however the Company has maintained a strategy of invoicing weekly instead of monthly wherever possible in order to minimise the cash flow effects.

In order to manage credit risk the directors set limits for clients based on a combination of payment history and
third party credit references. Credit limits are reviewed by the financial controller on a regular basis in
conjunction with debt ageing and objective history. Any indication of debtor liquidity concerns is addressed
immediately and efficiently to minimise potential bad debts.

The Company seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable
needs and to invest cash assets safely and profitably.

Qualifying third party indemnity provisions

The directors have been granted a qualifiying third party indemnity provision under Section 234 of the Companies Act 2006. This indemnity does not provide cover in the event of a director acting fraudulently or dishonestly.

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Page 4

 
ON LINE PEOPLE LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024

Auditors

The auditorsShortswill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 13 August 2024 and signed on its behalf.
 





S A Laird
Director
Page 5

 
ON LINE PEOPLE LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ON LINE PEOPLE LIMITED
 

Opinion

We have audited the financial statements of On Line People Limited (the 'Company') for the year ended 31 March 2024, which comprise the Statement of Income and Retained Earnings, the Balance Sheet and the related notes, including a summary of significant accounting policiesThe 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 March 2024 and of its profit 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 United Kingdom, including the Financial Reporting Council'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.

Conclusions relating to going concern

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.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The directors are responsible for the other information contained within the Annual ReportOur 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. 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 course of 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.

Page 6

 
ON LINE PEOPLE LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ON LINE PEOPLE LIMITED (CONTINUED)


Opinion 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.

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 Directors' Report.

We have nothing to report in respect of the following matters in relation to which 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 Directors' Responsibilities Statement set out on page 3, 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 is 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.

Page 7

 
ON LINE PEOPLE LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ON LINE PEOPLE LIMITED (CONTINUED)


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 an Auditors' Report 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.

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:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
through discussions with the directors and other management and from our commercial knowledge and experience of the sectors that the Company operates in, we identified the laws and regulations applicable to the Company; and
focusing on the specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the Company, we assessed the extent of compliance with those laws and regulations identified above through making enquiries of management and inspecting relevant correspondence.

We assessed the susceptibility of the Company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

performed analytical procedures to identify any unusual or unexpected relationships
considered journal entries to identify unusual transactions;
assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and
investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

agreeing financial statement disclosures to underlying supporting documentation;
reading the minutes of those charged with governance;
enquiring of management as to actual and potential litigation and claims; and
reviewing any correspondence with HMRC, relevant regulators and the Company’s legal advisors. 



 
Page 8

 
ON LINE PEOPLE LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ON LINE PEOPLE LIMITED (CONTINUED)



There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they
may involve deliberate concealment or collusion.

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 Auditors' Report.

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 2006Our 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 an Auditors' Report 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.




Andrew Irvine (Senior Statutory Auditor)
  
for and on behalf of
Shorts
 
Chartered Accountants
Statutory Auditor
  
Cedar House
63 Napier Street
Sheffield
South Yorkshire
S11 8HA

13 August 2024
Page 9

 
ON LINE PEOPLE LIMITED
 
 
STATEMENT OF INCOME AND RETAINED EARNINGS
FOR THE YEAR ENDED 31 MARCH 2024

2024
2023
Note
£
£

  

Turnover
 4 
13,156,952
14,157,209

Cost of sales
  
(12,269,039)
(13,211,621)

Gross profit
  
887,913
945,588

Administrative expenses
  
(819,378)
(801,296)

Operating profit
 5 
68,535
144,292

Interest payable and similar expenses
 9 
(41,517)
(24,209)

Profit before tax
  
27,018
120,083

Tax on profit
 10 
-
(22,478)

Profit after tax
  
27,018
97,605

  

  

Retained earnings at the beginning of the year
  
732,366
694,761

Profit for the year
  
27,018
97,605

Dividends declared and paid
  
(19,000)
(60,000)

Retained earnings at the end of the year
  
740,384
732,366
The notes on pages 12 to 21 form part of these financial statements.
Page 10

 
ON LINE PEOPLE LIMITED
REGISTERED NUMBER: 07987343

BALANCE SHEET
AS AT 31 MARCH 2024

2024
2023
Note
£
£

Fixed assets
  

Tangible assets
 11 
1,904
3,615

Current assets
  

Debtors: amounts falling due within one year
 12 
2,070,439
2,717,037

Cash at bank and in hand
  
11,991
149,389

  
2,082,430
2,866,426

Creditors: amounts falling due within one year
 13 
(1,333,950)
(2,127,675)

Net current assets
  
 
 
748,480
 
 
738,751

Total assets less current liabilities
  
750,384
742,366

  

Net assets
  
750,384
742,366


Capital and reserves
  

Called up share capital 
 14 
10,000
10,000

Profit and loss account
 15 
740,384
732,366

  
750,384
742,366


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 13 August 2024.




J Fox
S A Laird
Director
Director

The notes on pages 12 to 21 form part of these financial statements.
Page 11

 
ON LINE PEOPLE LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

1.


General information

On Line People Limited is a private Company limited by shares, incorporated in England and Wales (registered number: 07987343). Its registered office is On Line House, Pelham Road, Immingham, North East Lincolnshire, DN40 1AB. The principal activity of the Company throughout the year continued to be that of a recruitment company and employment business in the provision of supplying recruitment solutions of whilte collar technical, blue collar professional and general staffing within the process engineering, automotive, industrial automation, energy and commercial sectors. 

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.


The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies (see note 3).

The Company's functional and presentational currency is pounds sterling.

The following principal accounting policies have been applied:

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A;
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of On Line Group Limited as at 31 March 2024 and these financial statements may be obtained from Companies House.

Page 12

 
ON LINE PEOPLE LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

2.Accounting policies (continued)

 
2.3

Revenue recognition

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the turnover can be reliably measured. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before turnover is recognised:
Turnover arising from the placement of permanent candidates is recognised at the time the candidate commences full-time employment. Provision is made for the expected cost of meeting obligations where employees do not work for the specified contractual period.
Turnover arising from temporary placements is recognised over the period that temporary workers are provided.

 
2.4

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the Company in independently administered funds.

 
2.5

Taxation

Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

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

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Page 13

 
ON LINE PEOPLE LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

2.Accounting policies (continued)

 
2.6

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on the following basis:


Office equipment
-
25%
straight line

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.7

Financial instruments

The Company only enters into basic financial instrument transactions that result in the recognition of
financial assets and liabilities such as bank and cash balances, trade and other accounts receivable
and payable, loans from banks and other third parties and loans to and from related parties.

Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at the transaction price and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade payables or receivables, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction, the financial asset or liability is measured, initially, at the present value of the future cash flow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised
cost.

Financial assets and liabilities are offset and the net amount reported in the Balance Sheet when
there is an 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.

 
2.8

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

Page 14

 
ON LINE PEOPLE LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

3.


Judgements in applying accounting policies and key sources of estimation uncertainty

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical judgements in applying the entity's accounting policies

No significant judgements have had to be made by management in preparing these financial statements.

Critical accounting estimates and assumptions

Preparation of the financial statements requires management to make significant judgements and estimates. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that will have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are as follows:

Impairment of debtors

The Company makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of debtors, management considers factors including the current credit rating of the debtor, the ageing profile of debtors, and historical experience. See the debtors note included in the notes to the financial statements for the net carrying amounts of trade debtors, stated after the associated impairment provision.

Level of accrued income

At the year end the Company has to make an estimate of the level of income to accrue based on work performed for clients where invoices have not yet been raised. This is done based on detailed timesheet information and the client's contractual terms. See the debtors note included in the notes to the financial statements for the level of accrued income, along with prepayments, at the year end.


4.


Turnover

An analysis of turnover by class of business is as follows:


2024
2023
£
£

Rendering of services
13,156,952
14,157,209


All turnover arose within the United Kingdom.


5.


Operating profit

The operating profit is stated after charging:

2024
2023
£
£

Depreciation expense
1,711
2,556

Page 15

 
ON LINE PEOPLE LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

6.


Auditors' remuneration

During the year, the Company obtained the following services from the Company's auditors:


2024
2023
£
£

Fees payable to the Company's auditors for the audit of the Company's financial statements
14,385
13,080

The Company has taken advantage of the exemption not to disclose amounts paid for non-audit services as these are disclosed in the consolidated accounts of the parent Company.


7.


Employees

Staff costs, including directors' remuneration, were as follows:


2024
2023
£
£

Wages and salaries
6,106,244
7,292,760

Social security costs
679,047
849,324

Cost of defined contribution scheme
90,129
104,959

6,875,420
8,247,043


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


        2024
        2023
            No.
            No.







Admin & support
5
5



Sales, marketing and distribution
124
155

129
160

Page 16

 
ON LINE PEOPLE LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

8.


Directors' remuneration

2024
2023
£
£

Directors' emoluments
-
60,373

Company contributions to defined contribution pension schemes
-
1,372

-
61,745


During the year retirement benefits were accruing to no directors (2023 - 1) in respect of defined contribution pension schemes.


9.


Interest payable and similar expenses

2024
2023
£
£


Loans from group undertakings
39,218
24,209

Other interest payable
2,299
-

41,517
24,209


10.


Taxation


2024
2023
£
£

Corporation tax


Group relief payable in respect of current period
-
22,478



Taxation on profit
-
22,478
Page 17

 
ON LINE PEOPLE LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
 
10.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is lower than (2023 - lower than) the standard rate of corporation tax in the UK of 25% (2023 -19%). The differences are explained below:

2024
2023
£
£


Profit on ordinary activities before tax
27,018
120,083


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 19%)
6,755
22,816

Effects of:


Movement in deferred tax not recognised
(6,755)
(445)

Remeasurement in deferred tax for changes in tax rates
-
107

Group relief
-
(22,478)

Payment for group relief
-
22,478

Total tax charge for the year
-
22,478

Page 18

 
ON LINE PEOPLE LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

11.


Tangible fixed assets





Office equipment

£



Cost


At 1 April 2023
15,879



At 31 March 2024

15,879



Depreciation


At 1 April 2023
12,264


Charge for the year on owned assets
1,711



At 31 March 2024

13,975



Net book value



At 31 March 2024
1,904



At 31 March 2023
3,615


12.


Debtors

2024
2023
£
£


Trade debtors
1,509,587
1,555,657

Amounts owed by group undertakings
138,240
532,342

Prepayments and accrued income
422,612
629,038

2,070,439
2,717,037


Page 19

 
ON LINE PEOPLE LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

13.


Creditors: Amounts falling due within one year

2024
2023
£
£

Trade creditors
140,917
62,645

Amounts owed to group undertakings
45,210
904,000

Other taxation and social security
596,341
662,865

Other creditors
217,110
231,612

Accruals and deferred income
334,372
266,553

1,333,950
2,127,675



14.


Share capital

2024
2023
£
£
Allotted, called up and fully paid



10,000 (2023 - 10,000) Ordinary shares of £1.00 each
10,000
10,000



15.


Reserves

Profit and loss account

The profit and loss account consists of profits made by the Company attributable to the shareholders of the Company.


16.


Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £90,129 (2023 - £103,587). Contributions totalling £7,896 (2023 - £6,861) were payable to the fund at the balance sheet date and are included in creditors.


17.Financial guarantee contracts

The Company is subject to a fixed and floating charge over all assets of the Company, providing a cross guarantee against an overdraft held in another Group company. The value of the potential liability is subject to variation depending on the amount of overdraft being utilised.

Page 20

 
ON LINE PEOPLE LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

18.


Related party transactions

The Company has taken advantage of the exemption available in section 33 of FRS 102 from disclosing transactions with other members of the Group in which any subsidiary which is a party to the transaction is wholly owned by the Group.

In respect of other companies within the Group that are not wholly owned, the Company made purchases of £2,291 (2023: £9,857). At the year end the Company owed £185 (2023: £3,137) to this entity.


19.


Controlling party

The ultimate parent is On Line Group Limited, incorporated in England and Wales.

On Line Group Limited is the Company's controlling related party by virtue of its 100% interest in the Company.

These financial statements are available upon request from Companies House, Crown Way, Cardiff, CF14 3UZ and are the largest and smallest group of undertakings for which group accounts have been drawn up.
 
Page 21