AMICULUM Business Services Limited
Annual Report and Financial Statements
For the year ended 31 May 2024
Company Registration No. 06726671 (England and Wales)
AMICULUM Business Services Limited
Company Information
Directors
Dr Richard Allcorn
Dr Jennifer Putin
Ms Jane Smith
Secretary
Claire Gatley
Company number
06726671
Registered office
The Boathouse, Clarence Mill
Clarence Road
Bollington
Cheshire
SK10 5JZ
Auditor
Moore Kingston Smith LLP
Charlotte Building
17 Gresse Street
London
W1T 1QL
AMICULUM Business Services Limited
Contents
Page
Strategic report
1 - 2
Directors' report
3
Directors' responsibilities statement
4
Independent auditor's report
5 - 8
Statement of comprehensive income
9
Balance sheet
10
Statement of changes in equity
11
Notes to the financial statements
12 - 22
AMICULUM Business Services Limited
Strategic Report
For the year ended 31 May 2024
Page 1

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

Fair review of the business

AMICULUM Business Services continues to provide management and support services to the AMICULUM agencies which together represent/contribute to our position as a leading and growing independent global health communications and consultancy business with overall revenue growth during 2023/24. Revenue for AMICULUM Business Services increased by 6% (to £9.5 million) over the previous year with a pre-tax profit increase of 85% (to £0.7 million).

We continued to refine and optimize our global platform in preparation for revenue growth in the next 5 years which will be driven by enhanced business development activities to open up opportunities with new clients and strengthen our pipeline.

We are also preparing for consolidation of our family of agencies under the AMICULUM brand, a process which will be starting in 2024/25. This realignment will enhance the range of specialized services we offer, increase our agility in meeting client needs in a dynamic sector, and position us for continued success in the future.

Principal risks and uncertainties

As a management and support service to the AMICULUM agencies that supply services and consultancy to clients in the international pharmaceutical industry, a key risk to our business derives from the fundamental risks inherent in our clients’ operations, such as termination of development of a new drug or withdrawal of a marketed compound. Patent expiry is also a risk but this is well defined and can generally be mitigated well in advance.

AMICULUM has an established risk mitigation strategy and our agencies deliver services relating to a number of compounds, at different stages of development for a range of client companies. In instances where drugs have been stopped in development we have, to date, been able to quickly replace the revenue with new projects from our existing clients. There is active competition within the health communications and consulting market. AMICULUM’s agencies have established effective long-term relationships with their key clients and have grown primarily through repeat business and referral although an increasing amount of coordinated business development activity is being undertaken to support future growth.

The ability to recruit and retain high calibre staff with the requisite qualifications for our industry is also challenging. This risk is managed by provision of an excellent working environment and a carefully designed benefits package to encourage staff retention. AMICULUM’s agencies have, as a consequence, a low rate of staff turnover. During the year the company invested in enhanced in-house recruitment activities. The Board anticipates that this will reduce the overall cost of recruitment on a per-head basis whilst enabling us to create a pipeline of potential candidates in all key locations.

The company’s financial instruments comprise bank balances, credit card facilities, trade debtors and creditors. Although costs are predominantly in sterling, a significant proportion of revenue is denominated in US Dollars and Euros. The inevitable currency risk requires management through advanced budgeting for anticipated exchange rate movements and maintaining adequate cash reserves to absorb exchange rate fluctuations. AMICULUM manages its working capital by matching cash flows wherever possible through interim billings in the case of projects that are of more than one month’s duration. AMICULUM’s liquidity risk is managed as part of its overall financial control facilitated by regular management reporting to include monthly rolling profit and cashflow forecasts.

AMICULUM Business Services Limited
Strategic Report (Continued)
For the year ended 31 May 2024
Page 2
Development and performance

AMICULUM Business Services headcount reduced to an average of 85 in the year ending 31 May 2024 from an average of 93 the previous year. Recruitment continues to be driven by our in-house careers team which enables significant recruitment cost-saving combined with enhanced candidate experience.

Successful business development activities by our agencies with strategic client engagement and external communications support from our business opportunities team are expected to generate leads resulting in significant growth of AMICULUM in future years.

Having demonstrated the resilience and flexibility of our business again during 2024, we are looking forward with a high level of confidence and expect growth in 2025.

AMICULUM initiated plans in 2023/24 to consolidate its family of agencies under the AMICULUM brand, starting in 2024/25. This realignment will enhance the range of specialized services we offer, increase our agility in meeting client needs in a dynamic sector, and position us for continued success in the future.

Key performance indicators

The key indicators we focus on are staff costs and operating margins.

AMICULUM Business Services' staff costs increased by 7% to £5.2 million from £4.8 million in the prior year.

AMICULUM Business Services’ operating margin increased to 7% (2023: 4%).

On behalf of the board

Dr Jennifer Putin
Director
27 November 2024
AMICULUM Business Services Limited
Directors' Report
For the year ended 31 May 2024
Page 3

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

Principal activities

The principal activity of the company continued to be that of providing management and support services to the AMICULUM agencies.

Results and dividends

The profit for the year, after taxation, amounted to £454,850 (2023: £304,041).

 

No dividend was paid during the year or recommended as a final dividend by the directors.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

Dr Richard Allcorn
Dr Jennifer Putin
Ms Jane Smith
Auditor

In accordance with the company's articles, a resolution proposing that Moore Kingston Smith LLP be reappointed as auditor of the company will be put at a General Meeting.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

On behalf of the board
Dr Jennifer Putin
Director
27 November 2024
AMICULUM Business Services Limited
Directors' Responsibilities Statement
For the year ended 31 May 2024
Page 4

The directors are responsible for preparing the annual 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 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:

 

 

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.

AMICULUM Business Services Limited
Independent Auditor's Report
To the Members of AMICULUM Business Services Limited
Page 5
Opinion

We have audited the financial statements of AMICULUM Business Services Limited (the 'company') for the year ended 31 May 2024 which comprise the Statement of Comprehensive Income, the Balance Sheet, the Statement of Changes in Equity and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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:

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 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.

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 report. 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.

 

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.

AMICULUM Business Services Limited
Independent Auditor's Report (Continued)
To the Members of AMICULUM Business Services Limited
Page 6

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit:

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:

 

Responsibilities of directors

As explained more fully in the Directors' Responsibilities Statement, 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.

AMICULUM Business Services Limited
Independent Auditor's Report (Continued)
To the Members of AMICULUM Business Services Limited
Page 7
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.

 

As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

 

 

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.

 

 

AMICULUM Business Services Limited
Independent Auditor's Report (Continued)
To the Members of AMICULUM Business Services Limited
Page 8

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud

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.

The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the company.

Our approach was as follows:

 

 

There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

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 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.

Esther Carder
Senior Statutory Auditor
for and on behalf of Moore Kingston Smith LLP
29 November 2024
Chartered Accountants
Statutory Auditor
Charlotte Building
17 Gresse Street
London
W1T 1QL
AMICULUM Business Services Limited
Statement of Comprehensive Income
For the year ended 31 May 2024
Page 9
2024
2023
Notes
£
£
Turnover
3
9,529,033
8,967,458
Cost of sales
(755,083)
(944,679)
Gross profit
8,773,950
8,022,779
Administrative expenses
(8,094,039)
(7,654,975)
Profit before taxation
679,911
367,804
Tax on profit
7
(225,061)
(63,763)
Profit for the financial year
454,850
304,041

The Profit and Loss Account has been prepared on the basis that all operations are continuing operations.

AMICULUM Business Services Limited
Balance Sheet
As at 31 May 2024
Page 10
2024
2023
Notes
£
£
£
£
Fixed assets
Intangible assets
8
316,703
370,280
Tangible assets
9
333,919
627,862
650,622
998,142
Current assets
Debtors
10
2,704,275
2,997,861
Cash at bank and in hand
908,086
1,397,968
3,612,361
4,395,829
Creditors: amounts falling due within one year
11
(3,384,417)
(4,917,377)
Net current assets/(liabilities)
227,944
(521,548)
Total assets less current liabilities
878,566
476,594
Provisions for liabilities
Deferred tax liability
12
(145,089)
(197,967)
(145,089)
(197,967)
Net assets
733,477
278,627
Capital and reserves
Called up share capital
15
1
1
Profit and loss reserves
17
733,476
278,626
Total equity
733,477
278,627
The financial statements were approved by the board of directors and authorised for issue on 27 November 2024 and are signed on its behalf by:
Dr Jennifer Putin
Director
Company Registration No. 06726671
AMICULUM Business Services Limited
Statement of Changes in Equity
For the year ended 31 May 2024
Page 11
Share capital
Profit and loss reserves
Total
£
£
£
Balance at 1 June 2022
1
(25,415)
(25,414)
Year ended 31 May 2023:
Profit and total comprehensive income for the year
-
304,041
304,041
Balance at 31 May 2023
1
278,626
278,627
Year ended 31 May 2024:
Profit and total comprehensive income for the year
-
454,850
454,850
Balance at 31 May 2024
1
733,476
733,477
AMICULUM Business Services Limited
Notes to the Financial Statements
For the year ended 31 May 2024
Page 12
1
Accounting policies
Company information

AMICULUM Business Services Limited is a private company limited by shares incorporated in England and Wales. The registered office is The Boathouse, Clarence Mill, Clarence Road, Bollington, Cheshire, SK10 5JZ.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

 

This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:

 

 

The financial statements of the company are consolidated in the financial statements of Amiculum Limited. These consolidated financial statements are available from its registered office, The Boathouse Clarence Mill, Clarence Road, Bollington, Cheshire, England, SK10 5JZ.

1.2
Going concern

The directors have initiated planning for a restructure in January 2025 within the UK subsidiaries of AMICULUM in order to simplify the legal structure and to provide access to all of AMICULUM’s expertise and experience to clients under one brand. The likely outcome of the process is that the majority or all of the revenue, assets, liabilities and employees in the UK subsidiaries will be transferred to AMICULUM Business Services Limited. The directors do not anticipate that this will have any negative impact on existing current relationships or client service continuity.true

 

In assessing the impact of the planned restructuring on the company’s ability to continue as a going concern, the directors have considered the timing of the transfer, the financial and operational implications, and the ongoing support of the group. Based on this assessment, the directors are satisfied that the company will be able to meet its liabilities as they fall due during the restructuring process and beyond.

 

At the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

 

AMICULUM Business Services Limited
Notes to the Financial Statements (Continued)
For the year ended 31 May 2024
1
Accounting policies
(Continued)
Page 13
1.3
Turnover

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue 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 revenue is recognised:

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

Turnover is mainly due to fees invoiced to other subsidiaries of AMICULUM Limited during the period.

1.4
Intangible fixed assets other than goodwill

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date if the fair value can be measured reliably.

Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Software
3 years
1.5
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Leasehold land and buildings
Over the useful life of the lease
Office equipment
20% per annum
Fixtures and fittings
20% per annum
Computer equipment
33% per annum

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

1.6
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

AMICULUM Business Services Limited
Notes to the Financial Statements (Continued)
For the year ended 31 May 2024
1
Accounting policies
(Continued)
Page 14
1.7
Financial instruments

The company only has basic financial instruments measured at amortised cost, with no financial instruments classified as other or basic instruments measured at fair value.

Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

 

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Other financial liabilities

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

 

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

Derecognition of financial liabilities

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

AMICULUM Business Services Limited
Notes to the Financial Statements (Continued)
For the year ended 31 May 2024
1
Accounting policies
(Continued)
Page 15
1.8
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.9
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.10
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.11
Leases

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

1.12
Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

AMICULUM Business Services Limited
Notes to the Financial Statements (Continued)
For the year ended 31 May 2024
Page 16
2
Judgements and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, 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.

Depreciation and amortisation

The annual depreciation and amortisation charges for tangible and intangible assets are based on the directors' best estimate of their useful economic lives and residual values. These estimates are reviewed annually, considering historical experience and the intended use of the assets. Impairment reviews are also conducted annually to ensure that the carrying values of the assets remain appropriate. Any changes to these estimates could result in adjustments to the depreciation and amortisation charges in future periods.

3
Turnover
2024
2023
£
£
Turnover analysed by geographical market
United Kingdom
8,704,076
8,467,873
Rest of Europe
65,938
1,778
Rest of the World
759,019
497,807
9,529,033
8,967,458
4
Operating profit
2024
2023
Operating profit for the year is stated after charging:
£
£
Exchange losses
47,486
3,803
Fees payable to the company's auditor for the audit of the company's financial statements
61,953
94,469
Depreciation of owned tangible fixed assets
436,264
428,973
Amortisation of intangible assets
311,737
214,590
Operating lease charges
281,596
213,405
AMICULUM Business Services Limited
Notes to the Financial Statements (Continued)
For the year ended 31 May 2024
Page 17
5
Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2024
2023
Number
Number
85
93

Their aggregate remuneration comprised:

2024
2023
£
£
Wages and salaries
3,993,046
3,716,004
Social security costs
616,283
609,517
Pension costs
560,777
492,416
5,170,106
4,817,937
6
Directors' remuneration
2024
2023
£
£
Remuneration for qualifying services
739,480
678,145
Company pension contributions to defined contribution schemes
119,667
126,515
859,147
804,660

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 3 (2023 - 3).

Remuneration disclosed above include the following amounts paid to the highest paid director:
2024
2023
£
£
Remuneration for qualifying services
281,000
330,372
Company pension contributions to defined contribution schemes
49,000
28,000
AMICULUM Business Services Limited
Notes to the Financial Statements (Continued)
For the year ended 31 May 2024
Page 18
7
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
277,939
94,628
Double tax relief
-
0
(4,658)
Total UK current tax
277,939
89,970
Foreign current tax on profits for the current period
-
0
4,658
Total current tax
277,939
94,628
Deferred tax
Origination and reversal of timing differences
(52,878)
(30,865)
Total tax charge
225,061
63,763

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2024
2023
£
£
Profit before taxation
679,911
367,804
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 20.00%)
169,978
73,571
Tax effect of expenses that are not deductible in determining taxable profit
55,083
20,474
Permanent capital allowances in excess of depreciation
-
0
(16,172)
Remeasurement of deferred tax for changes in tax rates
-
0
(4,185)
Movement in deferred tax not recognised
-
0
(9,925)
Taxation charge for the year
225,061
63,763
AMICULUM Business Services Limited
Notes to the Financial Statements (Continued)
For the year ended 31 May 2024
Page 19
8
Intangible fixed assets
Software
£
Cost
At 1 June 2023
873,918
Additions
258,160
Disposals
(155,608)
At 31 May 2024
976,470
Amortisation and impairment
At 1 June 2023
503,638
Amortisation charged for the year
311,737
Disposals
(155,608)
At 31 May 2024
659,767
Carrying amount
At 31 May 2024
316,703
At 31 May 2023
370,280
9
Tangible fixed assets
Leasehold land and buildings
Fixtures and fittings
Computer equipment
Office equipment
Total
£
£
£
£
£
Cost
At 1 June 2023
316,567
113,438
1,204,518
53,204
1,687,727
Additions
2,220
615
114,311
25,323
142,469
Disposals
-
0
(6,732)
(95,293)
(2,384)
(104,409)
At 31 May 2024
318,787
107,321
1,223,536
76,143
1,725,787
Depreciation and impairment
At 1 June 2023
245,851
88,343
695,209
30,462
1,059,865
Depreciation charged in the year
70,810
14,247
339,310
11,897
436,264
Eliminated in respect of disposals
-
0
(6,584)
(95,293)
(2,384)
(104,261)
At 31 May 2024
316,661
96,006
939,226
39,975
1,391,868
Carrying amount
At 31 May 2024
2,126
11,315
284,310
36,168
333,919
At 31 May 2023
70,716
25,095
509,309
22,742
627,862
AMICULUM Business Services Limited
Notes to the Financial Statements (Continued)
For the year ended 31 May 2024
Page 20
10
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
731,651
754,270
Amounts owed by group undertakings
1,220,253
1,683,563
Other debtors
15,772
153,061
Prepayments and accrued income
736,599
406,967
2,704,275
2,997,861
11
Creditors: amounts falling due within one year
2024
2023
£
£
Trade creditors
350,420
97,227
Amounts owed to group undertakings
576,583
2,511,601
Corporation tax
277,939
89,971
Other taxation and social security
736,870
786,487
Other creditors
200,926
185,141
Accruals and deferred income
1,241,679
1,246,950
3,384,417
4,917,377
12
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:

Liabilities
Liabilities
2024
2023
Balances:
£
£
Accelerated capital allowances
145,880
226,373
Short term timing differences
(791)
(28,406)
145,089
197,967
2024
Movements in the year:
£
Liability at 1 June 2023
197,967
Credit to profit or loss
(52,878)
Liability at 31 May 2024
145,089
AMICULUM Business Services Limited
Notes to the Financial Statements (Continued)
For the year ended 31 May 2024
Page 21
13
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
560,777
492,416

The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.

 

At year end, the amounts outstanding in respect of pension contributions payable is £200,926 (2023: £185,141).

14
Share-based payment transactions

The Company's parent company operates an Enterprise Management Incentive share option plan. On 11 May 2018, 2,400,000 (1,200,000 each) options over the B shares of the parent company were granted to two employees of the Company at an exercise price of 0.1p per share. The options can be exercised on 11 May 2028, or earlier if certain circumstances are met. The impact of the share option scheme on the Company’s financial statements is immaterial, and no further disclosure is deemed necessary.

15
Share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
1
1
1
1

Fully paid ordinary shares carry one vote per share and carry a right to dividends as and when declared by the Company.

17
Reserves
Profit and loss reserves

This account represents the cumulative recognised profits and losses.

18
Financial commitments, guarantees and contingent liabilities

The Company has entered into a composite guarantee given to the Company's bankers in respect of any debts or liabilities owing to the bank by any party to the guarantee. The other parties to the guarantee are the Group companies listed below:

 

AMICULUM Limited

Delta Kn Limited

Mudskipper Business Limited

7.4 Limited

 

At the balance sheet date, the group's indebtedness to its bankers was £nil (2023: £nil).

AMICULUM Business Services Limited
Notes to the Financial Statements (Continued)
For the year ended 31 May 2024
Page 22
19
Operating lease commitments
Lessee

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

2024
2023
£
£
Within one year
70,710
582,185
Between two and five years
64,704
-
0
135,414
582,185
20
Related party transactions

The Company is a wholly owned subsidiary of AMICULUM Limited and as such has taken advantage of the exemption permitted under Section 33 'Related party disclosures' not to provide disclosures of the transactions entered into with wholly owned members of the group.

 

During the year, AMICULUM Business Services Limited incurred consultancy fees of £nil (2023: £11,288) payable to the director M Putin.

21
Ultimate controlling party

The Company's immediate and ultimate parent company is AMICULUM Limited, a company registered in England and Wales.

 

AMICULUM Limited is the parent undertaking of the smallest and the largest group, that prepares financial statements that include the Company. Copies can be obtained from The Boathouse, Clarence Mill, Clarence Road, Bollington, Macclesfield, SK10 5JZ.

 

By virtue of shareholdings, Dr Richard Allcorn is identified as the ultimate controlling party.

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