Registered number: 14066750
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2024
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Company Information
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Contents
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Strategic report
For the Year Ended 30 April 2024
The Directors present their Strategic Report for the year ended 30 April 2024.
The principal activities of the Company were to provide investment platform and discretionary fund management services. During the year under review the Company's activities were primarily centred around laying the foundation for future operations. The Directors remain confident that the foundation built will position the Company well for future growth.
The Company gained the certification as a B Corp, meeting the highest standards of social, environmental performance, transparency and accountability, demonstrating an ongoing commitment to improve these standards over the long term. The certification process required rigorous assessment across five key areas: People, Planet, Community, Governance and Customers.
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Strategic report (continued)
For the Year Ended 30 April 2024
Approach to Risk Management
The Company's risk management approach is integrated into our Risk Management Framework (RMF). While the Company has not yet begun generating revenue, the RMF ensures that appropriate structures and governance are established to effectively identify, manage, and mitigate potential risks. Our strategy is defined by a robust risk-conscious culture, a well-articulated risk appetite, and thorough governance procedures, which collectively position the Company to operate confidently within its risk boundaries as it begins to scale its business operations. Strategic and Business Risk Strategic and business risks involve the potential inability to successfully transition from the foundational phase to an active, client-serving platform. This includes risks related to market entry, the alignment of business strategy with market demands, and maintaining a favourable reputation as the Company begins operations. To manage these risks, the Board is actively involved in aligning strategic development with the Company's risk appetite. Regular horizon scanning is conducted to anticipate external environmental changes, with findings reported to the Risk Committee and Board. This approach ensures that the Company remains agile and capable of adapting as it moves towards revenue-generating activities. Operational Risk Operational risk is the risk of loss arising from inadequate or failed internal processes, including issues related to personnel, legal challenges, third-party vendor dependencies, and technology-related disruptions. Given that the Company is in its preparatory phase, operational risks primarily relate to ensuring that internal processes are robust and scalable to support future client onboarding and transaction volumes. The Company has prioritised establishing a strong operational framework, with a focus on scalability and resilience. The Board has implemented reviews to ensure that operational processes are ready to handle increased volumes as the business scales. Financial Risk Financial risk focuses on maintaining sufficient funding and liquidity to facilitate the Company’s growth and fulfil regulatory requirements as it moves toward becoming fully operational. This risk also involves the effective management of capital and the accuracy and timeliness of all regulatory filings. In anticipation of scaling up, the Board regularly assesses the Company’s capital and liquidity requirements in line with its strategic goals. Regular monthly monitoring and reporting of capital and liquidity thresholds are conducted, and stress testing is integrated into the business planning and ICARA processes to evaluate the potential effects of various stress scenarios on the Company’s financial health. Technology Risk Technology risk involves the potential failure to develop and maintain effective technology solutions that are critical for platform operations. This includes risks associated with system outages, data management issues, cyber security threats, and the implementation of suboptimal technological capabilities. The Company plans to conduct penetration testing, with findings reviewed by the Board. As the Company moves towards an operational state, investments in technology resilience and cyber security will be increased to ensure that the platform can support client activities securely and efficiently. Regulatory Risk Regulatory risk pertains to the possibility of failing to meet legal and regulatory standards, which could result in reputational harm or penalties from regulatory bodies. This risk covers a wide spectrum of obligations, such as data protection, safeguarding client assets, and following governance standards.
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Strategic report (continued)
For the Year Ended 30 April 2024
The Company places a high priority on regulatory compliance, supported by policies and frameworks aligned with its risk appetite. A thorough regulatory training program is provided for all employees, and ongoing compliance monitoring is carried out throughout the year. Regular horizon scanning for regulatory updates is an integral part of the Company’s strategy to ensure continuous adherence to evolving requirements as the business progresses.
Financial Crime Risk Financial crime risk involves the potential for the Company to be used to facilitate money laundering, terrorist financing, fraud, or other financial crimes. This risk also includes the internal threats of bribery, corruption, and market abuse. The Company has integrated a full suite of financial crime policies and training into its operations, despite not yet engaging in active client activities. An AML tool has been integrated into the Company's systems to prepare for future client onboarding. Continued enhancements to the financial crime prevention framework will be a focus as the Company moves towards operational activity. Conduct Risk Conduct risk refers to the risk of failing to act in the best interests of clients or to manage relationships with clients in a way that ensures positive outcomes. This includes risks related to poor complaints handling, unmet service requirements, and inadequate product governance. The Company is committed to embedding strong conduct principles across all future operations. Governance structures are already in place to ensure that any issues with clients are promptly addressed. As the Company prepares to engage with clients, regular reviews will be conducted to ensure that client outcomes remain a key focus, in line with the Company's risk appetite.
Business performance will be monitored by key performance indicators (KPI’s) to track growth and profitability. Once operational the Directors expect these to cover assets under management and number of clients.
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Strategic report (continued)
For the Year Ended 30 April 2024
The Directors, in line with their duties under s172 of the Companies Act 2006, act in a way they consider, in good faith, would be most likely to promote the success of the Company for the benefit of its members as a whole, and in doing so have regard to a range of matters when making decisions for the long term.
The Directors are focused on securing the long-term success of the Company by establishing a solid regulatory and operational foundation and have taken accountability for developing a governance framework that fully integrates stakeholder interests into decision-making. As the Company prepares for its future growth, maintaining a strong reputation and upholding high standards of business conduct are key priorities for the Directors. The Directors are committed to fostering strong, mutually beneficial relationships with all stakeholders, ensuring that the Company is well-positioned to deliver high standards of service for clients and collaboration with suppliers and other partners. The Directors recognise the importance of environmental and social governance and are committed to integrating these considerations into the Company’s strategy, as demonstrated by gaining the BCorp accreditation. All decisions made by the directors have been in full compliance with legal requirements, and fairness in business practices will continue to guide the Company as it develops. The Company is a certified B Corporation. B Corporations are businesses that meet the highest standards of verified social and environmental performance, public transparency, and legal accountability to balance profit and purpose.
This report was approved by the board on 22 August 2024 and signed on its behalf.
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Directors' report
For the Year Ended 30 April 2024
The directors present their report and the financial statements for the year ended 30 April 2024.
The directors are responsible for preparing the Strategic report, the Directors' report and the financial statements in accordance with applicable law and regulations.
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;
∙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 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.
The loss for the year, after taxation, amounted to £21,361 (2023 - profit £NIL).
The Directors do not propose a dividend payment (2023 - £NIL).
The directors who served during the year were:
The Directors expect the Company to move from a planning stage to an actively trading stage with new customers onboarded next year.
Disclosures of strategic importance that would usually be contained in the Directors' Report are presented in the Strategic Report.
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Directors' report (continued)
For the Year Ended 30 April 2024
There have been no significant events affecting the Company since the year end.
The auditor, Sayers Butterworth LLP, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.
This report was approved by the board on
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Independent auditor's report to the members of Octopus Accelerator Client Services Limited
We have audited the financial statements of Octopus Accelerator Client Services Limited (the 'Company') for the year ended 30 April 2024, which comprise the Profit and loss account, the Balance sheet, the Statement of changes in equity and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
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.
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.
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Independent auditor's report to the members of Octopus Accelerator Client Services Limited (continued)
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.
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.
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.
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Independent auditor's report to the members of Octopus Accelerator Client Services Limited (continued)
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.
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:
Discussions were held with, and enquiries made of management and those charged with governance with a view to identifying those laws and regulations that could be expected to have a material impact on the financial statements. During the engagement team briefing, the outcome of these discussions and enquiries were shared with the team, as well as consideration as to where and how fraud may occur in the entity. The following laws and regulations were identified as being of significance to the entity. Those laws and regulations considered to have a direct effect on the financial statements include UK financial reporting standards, Company Law, Financial Conduct Authority (FCA) regulations, GDPR legislation, Tax legislation and distributable profits legislation. It is considered that non-compliance with Financial Conduct Authority regulations would be fundamental to the operating aspects of the business. Audit procedures undertaken in response to the potential risks relating to irregularities (which include fraud and non-compliance with laws and regulations) comprised of: inquiries of management and those charged with governance as to whether the entity complies with such laws and regulations; enquiries with the same concerning any actual or potential litigation or claims; inspection of relevant legal correspondence; testing the appropriateness of entries in the nominal ledger, including journal entries; reviewing transactions around the end of the reporting period; and the performance of analytical procedures to identify unexpected movements in account balances which may be indicative of fraud. We also reviewed correspondence with the FCA in the period. We did not have any concerns to note. No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity's controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK).
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.
The corresponding figures in the financial statements of Octopus Accelerator Client Services Limited were not audited as the company did not require a statutory audit under the Companies Act 2006 in the prior period.
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Independent auditor's report to the members of Octopus Accelerator Client Services Limited (continued)
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.
for and on behalf of
Chartered Accountants and Statutory Auditor
3rd Floor
12 Gough Square
EC4A 3DW
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Profit and loss account
For the Year Ended 30 April 2024
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Registered number: 14066750
Balance sheet
As at
The financial statements were approved and authorised for issue by the board and were signed on its behalf on
The notes on pages 14 to 17 form part of these financial statements.
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Statement of changes in equity
For the Year Ended 30 April 2024
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Notes to the financial statements
For the Year Ended 30 April 2024
Octopus Accelerator Client Services Limited is a private company limited by shares incorporated in England & Wales. Details of the company's principal activity can be found in the Strategic Report. The company is authorised and regulated by the Financial Conduct Authority.
The comparative information is presented for the long period from 25 April 2022 to 30 April 2023.
2.Accounting policies
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with FRS 102 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland' and the requirements of the Companies Act 2006.
The following principal accounting policies have been applied:
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).
This information is included in the consolidated financial statements of Octopus Group Holdings Limited as at 30 April 2024 and these financial statements may be obtained from 6th Floor, 33 Holborn, London, EC1N 2HT.
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Notes to the financial statements
For the Year Ended 30 April 2024
2.Accounting policies (continued)
The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.
Basic financial assets
Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.
Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.
Financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities.
Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.
Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.
Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Notes to the financial statements
For the Year Ended 30 April 2024
There were no factors that may affect future tax charges.
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OCTOPUS ACCELERATOR CLIENT SERVICES LIMITED
Notes to the financial statements
For the Year Ended 30 April 2024
During the period the company issued 5,999 ordinary shares of £1 each for total consideration of £600,020.
The immediate parent company is Octopus Money Holdings Limited. The ultimate parent company is Octopus Group Holdings Limited. Both companies are registered in England and Wales. There is no one ultimate controlling party.
The parent undetaking of the smallest group of which the company is a member and consolidated financial statements are prepared is Octopus Group Holdings Limited. Copies of consolidated financial statements can be obtained from 6th Floor, 33 Holborn, London, EC1N 2HT.
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