Registration number:
London Skills & Development Network Limited
for the Year Ended 31 July 2024
London Skills & Development Network Limited
Contents
Company Information |
|
Director's Report |
|
Statement of Director's Responsibilities |
|
Independent Auditor's Report |
|
Income Statement |
|
Statement of Financial Position |
|
Statement of Cash Flows |
|
Notes to the Financial Statements |
|
Detailed Profit and Loss Account |
London Skills & Development Network Limited
Company Information
Director |
Ms V S Ramond |
Company secretary |
Carol Hurd |
Registered office |
|
Auditors |
|
London Skills & Development Network Limited
Director's Report for the Year Ended 31 July 2024
The director presents her report and the financial statements for the year ended 31 July 2024.
Incorporation
The company was incorporated on
Director of the company
The director who held office during the year was as follows:
Principal Activity
LSDN is a social enterprise providing youth and adult education, employment support and informal learning.
Social Value Statement
London Skills & Development Network (LSDN) is a Certified Member of Social Enterprise UK, providing adult education and training across London and surrounding areas. All profits are re-invested in meeting our social objectives. The aim of LSDN’s provision is to develop and deliver high-quality learning programmes that help individuals acquire meaningful and sustainable skills which positively impact their lives at home, at work, and in the community. This aim is fully reflected in every aspect of LSDN’s curriculum strategy and approach.
Mission Statement
Our mission is to enhance the life chances, economic independence, and social mobility opportunities of our students by helping them to develop the necessary technical, academic and life skills to enable them to realise their fullest potential at home, in the workplace and within the community. We work in partnership with other service providers and local communities, to bring about the best possible results for each of our students and their families.
LSDN target groups
Our learners come from across London and represent the diversity of Greater London. They come from multiple cultures, social backgrounds, faiths, ethnicities and have varied levels of prior attainment and educational achievement. We work with many learners who may have struggled at school or have had family/personal circumstances that interrupted their education, there are likely to be multiple barriers to participation and there may be an initial reluctance to engage fully in the learning process.
As part of its remit, LSDN has to address these barriers and support learners to build resilience and adopt positive attitudes to learning. A significant number of the learners that LSDN work with have experienced significant setbacks in their lives, for example, some of the learners we support are ex-offenders and existing/previous substance users, we also have a noticeable levels of learners who are homeless or residing in temporary housing and around 20% of the learners we support have declared a disability or learning difficulty. The additional services and support provided at LSDN is crucial in helping these learners successfully achieve their learning programmes and progress towards positive outcomes.
Our performance
This year, LSDN has had a number of notable achievements, including:
● Ofsted inspection maintaining GOOD rating.
● Mayor of London Inclusive Provider of Adult Education Award - Highly Commended.
● Successful award and delivery of UKSPF NEET programme.
● Successful award and delivery of Department for Energy Security and Net Zero Energy Efficiency upskilling programme.
London Skills & Development Network Limited
Director's Report for the Year Ended 31 July 2024 (continued)
Social Value Impact
LSDN is committed to measuring its social impact and positive contributions to the community. Our four key areas of priority in the period under review are set out below.
• Widening access to education - 417 individuals accessed courses and Learning Programmes at LSDN in the 2023/24 operational period.
• Sustainability and the environment (green skills) - 252 individuals completing green skills courses.
• Inclusion and social engagement - 260 vulnerable learners supported / 153 learners with disabilities and learning differences supported
• Reducing offending behaviour - 139 existing and ex-offenders supported
London Skills & Development Network Limited
Director's Report for the Year Ended 31 July 2024 (continued)
Disclosure of information to the auditors
The director has taken steps that she ought to have taken as a director in order to make herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. The director confirms that there is no relevant information that she knows of and of which she knows the auditors are unaware.
Reappointment of auditors
In accordance with section 485 of the Companies Act 2006, a resolution for the re-appointment of Moracle Limited as auditors of the company is to be proposed at the forthcoming Annual General Meeting.
Small companies provision statement
This report has been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.
Approved and authorised by the
......................................... |
London Skills & Development Network Limited
Statement of Director's Responsibilities
The director acknowledges her responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless she is 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 director is required to:
• |
select suitable accounting policies and apply them consistently; |
• |
make judgements and accounting estimates that are reasonable and prudent; |
• |
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The director is 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 her to ensure that the financial statements comply with the Companies Act 2006. She is 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.
London Skills & Development Network Limited
Independent Auditor's Report to the Members of London Skills & Development Network Limited
Opinion
We have audited the financial statements of London Skills & Development Network Limited (the 'company') for the year ended 31 July 2024, which comprise the Income Statement, Profit and Loss Account and Statement of Retained Earnings, Statement of Financial Position, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 Section 1A '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 July 2024 and of its profit for the year then ended; |
• | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
• | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor 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 director's 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 original financial statements were authorised for issue.
Our responsibilities and the responsibilities of the director 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. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
London Skills & Development Network Limited
Independent Auditor's Report to the Members of London Skills & Development Network Limited (continued)
Opinion on other matter 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 Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
• |
the Director's Report has been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Director's Report.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
• | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
• | the financial statements are not in agreement with the accounting records and returns; or |
• | certain disclosures of director's remuneration specified by law are not made; or |
• | we have not received all the information and explanations we require for our audit; or |
• | the director was not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies’ exemptions in preparing the directors’ report and from the requirement to prepare a strategic report. |
Responsibilities of the director
As explained more fully in the Statement of Director's Responsibilities [set out on page 5], the director is 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 director determines 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 director is 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 director either intends to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor 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.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
A further description of our responsibilities is available 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 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.
London Skills & Development Network Limited
Independent Auditor's Report to the Members of London Skills & Development Network Limited (continued)
......................................
For and on behalf of
Luton
LU1 3PE
London Skills & Development Network Limited
Income Statement for the Year Ended 31 July 2024
Note |
2024 |
2023 |
|
Turnover |
|
|
|
Cost of sales |
( |
( |
|
Gross profit |
|
|
|
Administrative expenses |
( |
( |
|
Operating profit |
25,262 |
11,245 |
|
Other interest receivable and similar income |
|
|
|
Interest payable and similar expenses |
( |
- |
|
40 |
64 |
||
Profit before tax |
|
|
|
Tax on profit |
( |
( |
|
Profit for the financial year |
|
|
The above results were derived from continuing operations.
The company has no recognised gains or losses for the year other than the results above.
London Skills & Development Network Limited
(Registration number: 05798511)
Statement of Financial Position as at 31 July 2024
Note |
2024 |
2023 |
|
Fixed assets |
|||
Tangible assets |
|
|
|
Current assets |
|||
Debtors |
|
|
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current assets |
|
|
|
Total assets less current liabilities |
|
|
|
Creditors: Amounts falling due after more than one year |
( |
( |
|
Net assets |
|
|
|
Capital and reserves |
|||
Called up share capital |
1 |
1 |
|
Retained earnings |
264,845 |
245,587 |
|
Shareholders' funds |
264,846 |
245,588 |
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and FRS 102 ‘The Financial Reporting Standard Applicable in the UK and Republic of Ireland’.
Approved and authorised by the
......................................... |
London Skills & Development Network Limited
Statement of Cash Flows for the Year Ended 31 July 2024
Note |
2024 |
2023 |
|
Cash flows from operating activities |
|||
Profit for the year |
|
|
|
Adjustments to cash flows from non-cash items |
|||
Depreciation and amortisation |
|
|
|
Finance income |
( |
( |
|
Finance costs |
|
- |
|
Income tax expense |
|
|
|
|
|
||
Working capital adjustments |
|||
(Increase)/decrease in trade debtors |
( |
|
|
Increase/(decrease) in trade creditors |
|
( |
|
(Decrease)/increase in deferred income, including government grants |
( |
|
|
Cash generated from operations |
( |
|
|
Income taxes (paid)/received |
( |
|
|
Net cash flow from operating activities |
( |
|
|
Cash flows from investing activities |
|||
Interest received |
|
|
|
Acquisitions of tangible assets |
- |
( |
|
Net cash flows from investing activities |
|
( |
|
Cash flows from financing activities |
|||
Interest paid |
( |
- |
|
Proceeds from bank borrowing draw downs |
( |
|
|
Net cash flows from financing activities |
( |
|
|
Net (decrease)/increase in cash and cash equivalents |
( |
|
|
Cash and cash equivalents at 1 August |
|
|
|
Cash and cash equivalents at 31 July |
26,644 |
273,119 |
London Skills & Development Network Limited
Notes to the Financial Statements for the Year Ended 31 July 2024
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
These financial statements were authorised for issue by the
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.
The following specific policies are applied to specific categories of income:
• Grants are recognized as income when the company becomes unconditionally entitled to them, while performance-related grants are recognized as the related conditions are met.
• Investment income, including interest, is recognized when receivable.
• Rental income from leased properties is recognized on a straight-line basis over the lease term unless another systematic basis is more representative of the rental period.
London Skills & Development Network Limited
Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)
2 |
Accounting policies (continued) |
Tangible assets
Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Assets costing more than £500 are capitalised.Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Fixtures and fittings |
25% Reducing Balance |
Office equipment |
25% Reducing Balance |
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
London Skills & Development Network Limited
Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)
2 |
Accounting policies (continued) |
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
VAT
The company is not registered for VAT.
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 including expectations of future events that are believed to be reasonable under the circumstances. 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
Revenue |
2024 |
2023 |
|
Youth Education and Employment Programmes (ESFA and UKSPF) |
279,359 |
147,369 |
Adult Education and Skills Programmes (GLA/DfE) |
1,191,256 |
2,472,630 |
Net Zero and Retrofit Skills (NCC/DESNZ) |
132,911 |
- |
IOM (United Nations) Grant |
- |
6,500 |
Other Income |
179,180 |
5,918 |
1,782,706 |
2,632,417 |
Staff costs |
The aggregate payroll costs (including director's remuneration) were as follows:
2024 |
2023 |
|
Wages and salaries |
|
|
Social security costs |
|
|
Pension costs, defined contribution scheme |
|
|
Other post-employment benefit costs |
|
- |
|
|
London Skills & Development Network Limited
Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)
4 |
Staff costs (continued) |
The average number of persons employed by the company (including the director) during the year, was
The number of employees receiving remuneration between £60,000 - £70,000 is Nil (2023: Nil). Between £70,000 - £80,000 is 1(2023: Nil). Between £80,000 - £90,000 is Nil (2023: 1).
The total employee benefits of the senior management team were £79,310(2023:£84,768).
Auditors' remuneration |
2024 |
2023 |
|
Audit of the financial statements |
|
|
Audit Fees - 7,800
Other Fees - Nil
Profit before tax |
Arrived at after charging/(crediting)
2024 |
2023 |
|
Depreciation expense |
|
|
London Skills & Development Network Limited
Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)
Tangible assets |
Furniture, fittings and equipment |
Total |
|
Cost or valuation |
||
At 1 August 2023 |
|
|
At 31 July 2024 |
|
|
Depreciation |
||
At 1 August 2023 |
|
|
Charge for the year |
|
|
At 31 July 2024 |
|
|
Carrying amount |
||
At 31 July 2024 |
|
|
At 31 July 2023 |
|
|
Debtors |
Current |
2024 |
2023 |
Trade debtors |
|
|
Prepayments |
|
|
|
|
Creditors |
Creditors: amounts falling due within one year
Note |
2024 |
2023 |
|
Due within one year |
|||
Loans and borrowings |
|
|
|
Trade creditors |
|
|
|
Taxation and social security |
|
|
|
Accruals and deferred income |
|
|
|
Other creditors |
- |
|
|
|
|
London Skills & Development Network Limited
Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)
Share capital |
Allotted, called up and fully paid shares
2024 |
2023 |
|||
No. |
£ |
No. |
£ |
|
|
|
1 |
|
1 |
Loans and borrowings |
Non-current loans and borrowings
2024 |
2023 |
|
Bank borrowings |
|
|
Current loans and borrowings
2024 |
2023 |
|
Bank borrowings |
|
|
Related party transactions |
London Skills & Development Network Limited
Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)
12 |
Related party transactions (continued) |
Director's remuneration
The director's remuneration for the year was as follows:
2024 |
2023 |
|
Remuneration |
|
|
Contributions paid to money purchase schemes |
|
|
81,026 |
86,529 |
London Skills & Development Network Limited
Detailed Profit and Loss Account for the Year Ended 31 July 2024
2024 |
2023 |
|
Turnover/revenue |
|
|
Cost of sales |
||
Purchase of raw materials and consumables |
( |
( |
Gross profit |
1,435,161 |
1,903,993 |
Administrative expenses |
||
Audit and accountancy audit costs |
( |
( |
Advertising, promotions and marketing costs |
( |
( |
Rent, rates and services costs |
( |
( |
Utilities costs |
( |
( |
Other repairs and maintenance costs |
( |
( |
Cleaning costs |
( |
( |
Depreciation of fixed assets |
( |
( |
Volunteer Costs |
( |
( |
Wages and salaries excluding directors |
( |
( |
Social security costs excluding directors |
( |
( |
Pension costs defined contribution schemes excluding directors |
( |
( |
Other staff costs excluding directors |
( |
- |
Staff costs excluding directors |
( |
( |
Salaries and fees, directors |
( |
( |
Social security costs, directors |
( |
( |
Company contributions to money purchase plans, directors |
( |
( |
Staff costs, directors |
( |
( |
Non-bank interest and similar charges |
( |
- |
Consultancy costs |
( |
( |
Security Costs |
( |
( |
Travel and subsistence |
( |
( |
Legal and professional costs |
( |
( |
Bank charges |
( |
( |
Insurance costs |
( |
( |
IT & Software Expenses |
( |
( |
Telephone and internet services |
( |
( |
Printing, postage and stationery |
( |
( |
Equipment Rental Costs |
( |
( |
Social Value Funds |
( |
( |
Staff Training & CPDs |
( |
( |
Subscriptions & Accreditation |
( |
( |
Other costs |
( |
( |
London Skills & Development Network Limited
Detailed Profit and Loss Account for the Year Ended 31 July 2024 (continued)
2024 |
2023 |
|
Other operating income |
||
Other items |
||
Profit on ordinary activities before finance charges and interest |
25,262 |
11,245 |
Bank interest and similar income receivable |
|
|
Profit on ordinary activities before taxation |
|
|
Tax on profit or loss on ordinary activities |
( |
( |
Profit for the financial year |
|
|