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Registered number: 02889550










TOMORROW'S GUIDES LIMITED










ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

 
TOMORROW'S GUIDES LIMITED
 

COMPANY INFORMATION


Directors
S Low-Tufo 
W S Blackwell 




Registered number
02889550



Registered office
Unit 1, Station Yard

Station Road

Hungerford

Berkshire

RG17 0DY




Independent auditor
James Cowper Kreston Audit
Chartered Accountants and Statutory Auditor

2 Communications Road

Greenham Business Park

Greenham

Newbury

Berkshire

RG19 6AB





 
TOMORROW'S GUIDES LIMITED
 

CONTENTS



Page
Strategic Report
 
1
Directors' Report
 
2 - 3
Independent Auditor's Report
 
4 - 6
Statement of Comprehensive Income
 
7
Balance Sheet
 
8
Statement of Changes in Equity
 
9
Notes to the Financial Statements
 
10 - 21


 
TOMORROW'S GUIDES LIMITED
 

STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

Introduction
 
The Directors present the Strategic Report for the year ended 31 December 2023.

Business review
 
Turnover increased from £9,706,060 to £11,056,584 due to price increase to some product lines, as well as more clients upgrading to a higher tier package.
The gross profit margin has decreased slightly from 90.0% to 88.2%.
Administrative expenses have increased from £4,929,048 to £5,820,889 due to movements in labour costs as well as other general cost increases to support business growth.
A profit after tax of £3,396,574 was reported for the year, compared to a profit of £3,402,698 in 2022

Principal risks and uncertainties
 
Market Risk
Our websites have high visibility in the search engines which is important to the success of our business. The senior management team are aware that search engine rankings can change and are committed to developing our products to retain high visibility in search engines and to further diversify our marketing strategy.
Financial risk management
Senior management regularly review key debtor recoverability metrics on a weekly basis and perform the relevant due diligence before entering into contracts with suppliers.
Business environment
The business operates in the older person care and childcare sectors which have ongoing challenges and risks around funding, recruitment and infection control. We remain committed to being a valuable resource to help care seekers find the right care, and to help care providers attract new clients. Various turnover protection and investment strategies have been implemented to mitigate the risk to our business..

Financial key performance indicators
 
Turnover has increased by 13.9% to £11,056,584.
The company has generated an operating profit of £3,936,399 in 2023 compared to £3,806,718 in 2022.
The profit after tax for the year has decreased by 0.2% to £3,396,574.
The net asset position has increased by 68.5% to £901,885.


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



W S Blackwell
Director

Date: 22 August 2024

Page 1

 
TOMORROW'S GUIDES LIMITED
 

 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

The directors present their report and the financial statements for the year ended 31 December 2023.

Directors

The directors who served during the year were:

S Low-Tufo 
W S Blackwell 

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 judgments 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 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.

Disclosure of information to auditor

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 auditor is 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 auditor is aware of that information.

Page 2

 
TOMORROW'S GUIDES LIMITED
 

 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023


Auditor

The auditor, James Cowper Kreston Auditwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

Results and dividends

The profit for the year, after taxation, amounted to £3,396,574 (2022 - £3,402,698).

Dividends of £3,030,000 were paid during the year (2022: £3,145,000).

Future developments

See Strategic Report.

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





W S Blackwell
Director

Date: 22 August 2024

Page 3

 
TOMORROW'S GUIDES LIMITED
 

 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF TOMORROW'S GUIDES LIMITED
 

Opinion


We have audited the financial statements of Tomorrow's Guides Limited (the 'Company') for the year ended 31 December 2023, which comprise the Statement of Comprehensive Income, the Balance Sheet, the Statement of Changes in Equity 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 December 2023 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 Auditor's 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 Auditor's 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 4

 
TOMORROW'S GUIDES LIMITED
 

 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF TOMORROW'S GUIDES 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 2, 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.
 
Auditor's 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 Auditor's 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.


Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. 
The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
Page 5

 
TOMORROW'S GUIDES LIMITED
 

 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF TOMORROW'S GUIDES LIMITED (CONTINUED)



The specific procedures for this engagement that we designed and performed to detect material misstatements in respect of irregularities, including fraud, were as follows: 
 
Enquiry of management and those charged with governance around actual and potential litigation and             claims;
Enquiry of management and those charged with governance to identify any material instances of non-       compliance with laws and regulations; 
Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations; 
Performing audit work to address the risk of irregularities due to management override of controls,                    including testing of journal entries and other adjustments for appropriateness, evaluating the business                rationale of significant transactions outside the normal course of business and reviewing accounting                   estimates for evidence of bias. 
 
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 Auditor's 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 Auditor's 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.





Jonathan Baillie BA (Hons) ACA FCCA (Senior Statutory Auditor)
  
for and on behalf of
James Cowper Kreston Audit
 
Chartered Accountants and Statutory Auditor
  
2 Communications Road
Greenham Business Park
Greenham
Newbury
Berkshire
RG19 6AB

 
Date: 
22 August 2024
Page 6

 
TOMORROW'S GUIDES LIMITED
 

STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
Note
£
£

  

Turnover
 4 
11,056,584
9,706,060

Cost of sales
  
(1,299,296)
(970,294)

Gross profit
  
9,757,288
8,735,766

Administrative expenses
  
(5,820,889)
(4,929,048)

Operating profit
  
3,936,399
3,806,718

Interest receivable and similar income
  
42,265
33,279

Interest payable and similar expenses
  
(6,627)
-

Profit before tax
  
3,972,037
3,839,997

Tax on profit
 9 
(575,463)
(437,299)

Profit for the financial year
  
3,396,574
3,402,698

There was no other comprehensive income for 2023 (2022:£NIL).

The notes on pages 10 to 21 form part of these financial statements.

Page 7

 
TOMORROW'S GUIDES LIMITED
REGISTERED NUMBER: 02889550

BALANCE SHEET
AS AT 31 DECEMBER 2023

2023
2022
Note
£
£

Fixed assets
  

Intangible assets
 10 
2,043,009
1,507,828

Tangible assets
 11 
314,773
357,775

  
2,357,782
1,865,603

Current assets
  

Debtors: amounts falling due within one year
 12 
3,997,506
3,486,618

Cash at bank and in hand
 13 
1,179,745
584,227

  
5,177,251
4,070,845

Creditors: amounts falling due within one year
 14 
(6,100,394)
(5,000,312)

Net current liabilities
  
 
 
(923,143)
 
 
(929,467)

Total assets less current liabilities
  
1,434,639
936,136

Provisions for liabilities
  

Deferred tax
 16 
(532,754)
(400,825)

Net assets
  
901,885
535,311


Capital and reserves
  

Called up share capital 
 17 
75,000
75,000

Profit and loss account
  
826,885
460,311

  
901,885
535,311


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




W S Blackwell
Director

Date: 22 August 2024

The notes on pages 10 to 21 form part of these financial statements.

Page 8

 
TOMORROW'S GUIDES LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023


Called up share capital
Profit and loss account
Total equity

£
£
£

At 1 January 2023
75,000
460,311
535,311



Profit for the year
-
3,396,574
3,396,574

Dividends: Equity capital
-
(3,030,000)
(3,030,000)


At 31 December 2023
75,000
826,885
901,885



STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2022


Called up share capital
Profit and loss account
Total equity

£
£
£

At 1 January 2022
75,000
202,613
277,613



Profit for the year
-
3,402,698
3,402,698

Dividends: Equity capital
-
(3,145,000)
(3,145,000)


At 31 December 2022
75,000
460,311
535,311


The notes on pages 10 to 21 form part of these financial statements.

Page 9

 
TOMORROW'S GUIDES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1.


General information

Tomorrow's Guides Limited is a private company limited by shares incorporated in England and Wales. The registered office is Unit 1 Station Yard, Station Road, Hungerford, Berkshire, RG17 0DY.

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 judgment in applying the Company's accounting policies (see note 3).

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 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of APFM UK Limited as at 31 December 2023 and these financial statements may be obtained from Companies House.

 
2.3

Going concern

The Company continues to be profitable and cash generative however at the year end has net current liabilities. The Company has prepared forecasts that show the Company is expected to remain profitable and cash generative and will have sufficient resources to meet its liabilities as they fall due. For these reasons the financial statements have been preared on a going concern basis.

 
2.4

Revenue

Revenue represents amounts receivable for the online publishing service net of VAT. 
Revenue from contracts for the provision of services is recognised over the period of the contract on a monthly basis between the start date and end date of the order. 
The contract period is usually 12 months long and the income is deferred at the start of the contract and released in equal instalments over the period of the contract.

 
2.5

Operating leases: the Company as lessee

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

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

Page 10

 
TOMORROW'S GUIDES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.6

Research and development

In the research phase of an internal project it is not possible to demonstrate that the project will generate future economic benefits and hence all expenditure on research shall be recognised as an expense when it is incurred. Intangible assets are recognised from the development phase of a project if and only if certain specific criteria are met in order to demonstrate the asset will generate probable future economic benefits and that its cost can be reliably measured. The capitalised development costs are subsequently amortised on a straight-line basis over their useful economic lives, which range from 3 to 6 years.
If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.

 
2.7

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.8

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.

 
2.9

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. 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 11

 
TOMORROW'S GUIDES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.10

Intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

 The estimated useful lives range as follows:

Development costs
-
33% straight line method

 
2.11

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, using the straight-line method.

Depreciation is provided on the following basis:

Fixtures and fittings
-
25%
Computer equipment
-
33%
Software
-
33%

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.

 
2.12

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.13

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

 
2.14

Creditors

Short-term creditors are measured at the 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.

Page 12

 
TOMORROW'S GUIDES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.15

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
 
Increases in provisions are generally charged as an expense to profit or loss.

 
2.16

Financial instruments

The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in ordinary shares.
Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of Comprehensive Income.
For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.
For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate of the recoverable amount, which is an approximation of the amount that the Company would receive for the asset if it were to be sold at the balance sheet date.

 
2.17

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 13

 
TOMORROW'S GUIDES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

3.


Judgments in applying accounting policies and key sources of estimation uncertainty

In the application of the Company accounting policies, the directors are required to make judgments, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
The key judgments made by the directors in preparation of the financial statements are as follows:
Capitalisation of development expenditure
The Company capitalises development expenditure if and only if certain specific criteria are met in order to demonstrate the asset will generate probable future economic benefits and that its cost can be reliably measured. The key judgment arises in determining if the assets will generate probable future economic benefits and the proportion of time that is related to development expenditure and not research and development activities.
Amortisation of intangible assets
The Company has significant levels of intangible assets from internally developed software. The key judgment in respect of these assets is the amortisation period. The directors review these amortisation periods at the end of each financial year to ensure they are still appropriate.  


4.


Turnover

The whole of the turnover is attributable to the principal activity of the group.

All turnover arose within the United Kingdom.


5.


Operating profit

The operating profit is stated after charging:

2023
2022
£
£

Depreciation charge
169,082
153,400

Amortisation charge
1,066,562
770,315

Operating lease rentals
80,131
70,329

Page 14

 
TOMORROW'S GUIDES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

6.


Auditor's remuneration

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


2023
2022
£
£

Fees payable to the Company's auditor for the audit of the Company's financial statements
22,000
19,500


7.


Employees

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


2023
2022
£
£

Wages and salaries
3,484,669
2,924,613

Social security costs
568,695
493,461

Cost of defined contribution scheme
221,284
200,721

4,274,648
3,618,795


The average monthly number of employees, including directors, during the year was 98 (2022 - 85).


8.


Directors' remuneration

2023
2022
£
£

Directors' emoluments
212,486
206,228

Company contributions to defined contribution pension schemes
9,886
9,338

222,372
215,566


During the year retirement benefits were accruing to 1 director (2022 - 1) in respect of defined contribution pension schemes.

The highest paid director received remuneration of £212,486 (2022 - £206,228).

The value of the Company's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £9,886 (2022 - £9,338).

Page 15

 
TOMORROW'S GUIDES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

9.


Taxation


2023
2022
£
£

Corporation tax


Current tax on profits for the year
451,552
328,882

Adjustments in respect of previous periods
(8,018)
9,571


Total current tax
443,534
338,453

Deferred tax


Origination and reversal of timing differences
131,929
75,123

Changes to tax rates
-
23,723

Total deferred tax
131,929
98,846


Taxation on profit on ordinary activities
575,463
437,299

Factors affecting tax charge for the year

The tax assessed for the year is lower than (2022 - lower than) the standard rate of corporation tax in the UK of 23.52% (2022 - 19%). The differences are explained below:

2023
2022
£
£


Profit on ordinary activities before tax
3,972,037
3,839,997


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 23.52% (2022 - 19%)
934,223
729,599

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
1,948
10,984

Adjustments to tax charge in respect of prior periods
(8,018)
9,571

Remeasurement of deferred tax for changes in tax rates
-
(58,571)

Group relief
(352,690)
(254,284)

Total tax charge for the year
575,463
437,299


Factors that may affect future tax charges

There were no factors that may affect future tax charges.

Page 16

 
TOMORROW'S GUIDES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

10.


Intangible assets




Computer software

£



Cost


At 1 January 2023
3,456,487


Additions - internal
1,601,743



At 31 December 2023

5,058,230



Amortisation


At 1 January 2023
1,948,659


Charge for the year
1,066,562



At 31 December 2023

3,015,221



Net book value



At 31 December 2023
2,043,009



At 31 December 2022
1,507,828



Page 17

 
TOMORROW'S GUIDES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

11.


Tangible fixed assets





Fixtures and fittings
Computer equipment
Computer software
Total

£
£
£
£



Cost or valuation


At 1 January 2023
441,549
152,786
75,790
670,125


Additions
7,725
46,946
71,409
126,080



At 31 December 2023

449,274
199,732
147,199
796,205



Depreciation


At 1 January 2023
170,120
97,305
44,925
312,350


Charge for the year on owned assets
98,525
43,516
27,041
169,082



At 31 December 2023

268,645
140,821
71,966
481,432



Net book value



At 31 December 2023
180,629
58,911
75,233
314,773



At 31 December 2022
271,429
55,481
30,865
357,775

Page 18

 
TOMORROW'S GUIDES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

12.


Debtors

2023
2022
£
£


Trade debtors
3,174,381
2,700,511

Amounts owed by group undertakings
695,816
662,288

Other debtors
2,910
5,892

Prepayments and accrued income
124,399
117,927

3,997,506
3,486,618


Amounts owed by group undertakings are unsecured, repayable on demand and accrue interest at 5% per annum which is payable every 6 months.


13.


Cash and cash equivalents

2023
2022
£
£

Cash at bank and in hand
1,179,745
584,227



14.


Creditors: Amounts falling due within one year

2023
2022
£
£

Trade creditors
119,014
116,082

Corporation tax
415,019
124,065

Other taxation and social security
542,697
460,417

Other creditors
226
184

Accruals and deferred income
5,023,438
4,299,564

6,100,394
5,000,312







Page 19

 
TOMORROW'S GUIDES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

15.


Financial instruments

2023
2022
£
£

Financial assets


Financial assets measured at fair value through profit or loss
1,179,745
584,227

Financial assets measured at amortised cost
3,873,107
3,368,691

5,052,852
3,952,918


Financial liabilities


Financial liabilities measured at amortised cost
661,937
576,683


Financial assets measured at fair value through profit or loss comprise sash and cash equivalents.
Financial assets measured at amortised cost comprise trade and other debtors.
Financial liabilities measured at amortised cost comprise trade and other creditors, amounts owed to group undertakings and social security and other taxes.


16.


Deferred taxation




2023


£






At beginning of year
(400,825)


Charged to profit or loss
(131,929)



At end of year
(532,754)

The provision for deferred taxation is made up as follows:

2023
2022
£
£


Accelerated capital allowances
(543,310)
(410,850)

Short term timing differences
10,556
10,025

(532,754)
(400,825)

Page 20

 
TOMORROW'S GUIDES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

17.


Share capital

2023
2022
£
£
Authorised, allotted, called up and fully paid



75,000 (2022 - 75,000) Ordinary shares of £1.00 each
75,000
75,000



18.


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 £299,186 (2022: £200,721). No contributions were payable to the fund at the balance sheet date in either 2023 or 2022.


19.


Commitments under operating leases

At 31 December 2023 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2023
2022

£
£


Not later than 1 year
80,055
74,890

Later than 1 year and not later than 5 years
131,250
190,680

211,305
265,570


20.


Controlling party

The ultimate controlling party is Apex Super Parent, L.P., a limited partnership incorporated in the United States of America.

The parent of the smallest group for which group accounts including Tomorrow's Guides Limited are drawn up is APFM UK Limited. Copies of these accounts are available from the registered office. The parent of the largest group for which group accounts including Tomorrow's Guides Limited are drawn up is Apex Super Parent, L.P. Copies of these accounts are not available to the public.

Page 21