REGISTERED NUMBER: 15659865 (England and Wales)

PERMANENT FUTURES HOLDINGS LIMITED

GROUP STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 JULY 2025

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

5

Report of the Independent Auditors

7

Consolidated Statement of Comprehensive Income

11

Consolidated Balance Sheet

12

Company Balance Sheet

13

Consolidated Statement of Changes in Equity

14

Company Statement of Changes in Equity

15

Consolidated Cash Flow Statement

16

Notes to the Consolidated Cash Flow Statement

17

Notes to the Consolidated Financial Statements

18

DIRECTORS:

T Ryan

H Panesar

J B Liptrot

REGISTERED OFFICE:

19 New Street

Horsforth

Leeds

West Yorkshire

LS18 4BH

REGISTERED NUMBER:

15659865 (England and Wales)

AUDITORS:

BPR Audit Limited

Statutory Auditors

Glenewes House

Gate Way Drive

Leeds

West Yorkshire

LS19 7XY

The directors present their strategic report of the company and the group for the year ended 31 July 2025.

PRINCIPAL ACTIVITY

Permanent Futures Limited (Futures) is a provider in professional interim and permanent recruitment services. The group offers innovative resourcing models, advisory and project delivery solutions that support the public sector, education, manufacturing and consumer goods.

The directors have not planned, at the date of this report, any changes to the principal activity and are not aware of any likely changes thereto over the coming year.

STRATEGY

The group's strategy is centred on sustainable growth through investment in people, technology, and long-term client relationships.

Significant emphasis continues to be placed on attracting, developing, and retaining high-quality employees. The group promotes a supportive and inclusive working environment, supported by wellbeing initiatives including healthcare provision and access to counselling services.

Ongoing investment in training and development ensures that consultants maintain sector expertise and deliver high-quality service to clients. Alongside this, the group continues to enhance its IT infrastructure to improve operational efficiency and service delivery.

The directors believe that this combined focus on people and technology positions the business to maintain and grow its market share.

The group's key strategic priorities for the forthcoming year are:

- Continued investment in employee development and retention

- Expansion and strengthening of client relationships

- Ongoing enhancement of technology platforms to improve efficiency and service delivery

REVIEW OF BUSINESS

The group had a 12.98% decrease in turnover. Gross margins were under pressure throughout the period but still maintained a GP margin of 18.43% compared to 19.10% achieved in the year to 31 July 2024.

Investment in technology and staff will maintain growth over the coming year and strengthen the group's position in its chosen markets.

PRINCIPAL RISKS AND UNCERTAINTIES

The management of the business and the execution of the group's strategy are subject to several key risks.

These are:

Recruitment and retention of staff

The ability to attract and retain high-performing consultants remains critical. The group mitigates this risk through competitive remuneration, career development opportunities, and a strong focus on employee wellbeing.

Cost of living inflationary pressures

Rising salary expectations and broader cost pressures continue to impact the business. The group actively monitors market conditions and manages costs while maintaining its commitment to competitive employee packages.

Financial Risks

The group's objectives are to safeguard its financial stability and maintain sufficient resources to support operations and growth.

- No material exposure to foreign currency risk

- No external borrowings, resulting in minimal liquidity and interest rate risk -

- Credit risk is managed through robust credit control procedures and external credit monitoring

General Business Risk

Performance remains dependent on maintaining strong client relationships, retaining key staff, and continuing investment in technology. The directors are not aware of any additional significant risks that would materially impact the business in the forthcoming year.

KEY PERFORMANCE INDICATORS

The directors monitor financial performance using key metrics derived from the group's financial statements.

Gross Profit

Gross profit remains the directors' primary concern and margins are constantly under pressure. Overall gross margins achieved in the period under review were 18.43.% compared to 19.10% in the previous period. The directors expect that a downward pressure on margins will continue in the coming year and active measures are in place to encourage the maintenance of gross margins.

Shareholders' funds

Shareholders funds increased in the year by £938,821 to £6,973,000.

CURRENT TRADING AND PROSPECTS

The group enters the new financial year with a strong balance sheet, established client base, and solid operational infrastructure.

However, the external environment has become more uncertain. Political change within the UK and the potential for reduced public sector spending, combined with wider global economic pressures, are expected to impact the recruitment market.

As a result, the directors anticipate increased pressure on revenue and profitability in the short term. Forecasts have been adjusted accordingly, and cost management initiatives are being implemented. The recruitment market for experienced consultants remains highly competitive. To address this, the group is investing in internal development programmes to build future talent pipelines.

The group continues to invest in operational improvements, including:

- Investment in AI tools to enable staff to focus on higher-value activities.

These initiatives are expected to improve efficiency and scalability over the medium term.

In addition, the group is considering investment in its office environment to support a modern and growing workforce.

Despite current market challenges, the directors believe that the group's focus on resilient sectors, particularly education, public services, manufacturing and consumer goods, provides a stable platform for future growth.

ON BEHALF OF THE BOARD:

H Panesar - Director

6 May 2026

The directors present their report with the financial statements of the company and the group for the year ended 31 July 2025.

DIVIDENDS

The total distribution of dividends for the year ended 31 July 2025 will be £565,055

EVENTS SINCE THE END OF THE YEAR

Information relating to events since the end of the year is given in the notes to the financial statements.

DIRECTORS

T Ryan has held office during the whole of the period from 1 August 2024 to the date of this report.

Other changes in directors holding office are as follows:

H Panesar - appointed 21 October 2024

J B Liptrot was appointed as a director after 31 July 2025 but prior to the date of this report.

T M Liptrot ceased to be a director after 31 July 2025 but prior to the date of this report.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Group Strategic Report, the Report of the Directors 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 the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then 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 directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

AUDITORS

The auditors, BPR Audit Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

H Panesar - Director

6 May 2026

Opinion

We have audited the financial statements of Permanent Futures Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 July 2025 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, 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 Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the group's and of the parent company affairs as at 31 July 2025 and of the group's profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group 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 group's and the parent 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 directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors 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 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.

Opinions on other matters prescribed by the Companies Act 2006

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

-	the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors.

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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

-	the parent company financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page five, 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 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 group's and the parent 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 group or the parent company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors 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 designed procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures were capable of detecting irregularities, including fraud is detailed below:

To identify risks of material misstatement due to irregularities, including fraud (fraud risks) we assessed events or conditions that could indicate an incentive or pressure to commit fraud or provide an opportunity to commit fraud. Our risk assessment procedures involved enquiring of the directors as to the company and group's policies and procedures to prevent and detect fraud, as well as whether they had knowledge of any actual, suspected, or alleged fraud. We communicated identified fraud risks throughout the audit team and remained alert to any indications of fraud throughout the audit.

As required by auditing standards and considering our overall knowledge of the control environment, we performed procedures to address the risk of management override of controls, in particular the risk that management may be able to make inappropriate accounting entries. We concluded that there was limited opportunity for manipulation or management override of controls. We performed procedures including a review of accounting entries to supporting documentation. We did not identify any additional fraud risks.

We identified Health and Safety, and Employment Law as areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements.

We communicated the identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. The company and group is subject to laws and regulations that directly affect the financial statements, including financial reporting and taxation legislation, and we assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items.

Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the directors and key management and inspection of regulatory and legal correspondence, if any. Therefore, if a breach of operational regulations is not disclosed to us or evident from relevant correspondence, an audit will not detect that breach.

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

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 Report of the Auditors.

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 a Report of the Auditors 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.

Martin Garrity FCCA FCA (Senior Statutory Auditor)

for and on behalf of BPR Audit Limited

Statutory Auditors

Glenewes House

Gate Way Drive

Leeds

West Yorkshire

LS19 7XY

6 May 2026

TURNOVER

31,857,460

36,609,248

Cost of sales

(25,986,559

)

(29,615,271

)

GROSS PROFIT

5,870,901

6,993,977

Administrative expenses

(3,965,902

)

(4,137,199

)

1,904,999

2,856,778

Other operating income

892

892

OPERATING PROFIT

4

1,905,891

2,857,670

Interest receivable and similar income

110,072

88,023

2,015,963

2,945,693

Interest payable and similar expenses

5

(5,043

)

(2,680

)

PROFIT BEFORE TAXATION

2,010,920

2,943,013

Tax on profit

6

(507,044

)

(744,691

)

PROFIT FOR THE FINANCIAL YEAR

1,503,876

2,198,322

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

1,503,876

2,198,322

Profit attributable to:

Owners of the parent

1,503,876

2,198,322

Total comprehensive income attributable to:

Owners of the parent

1,503,876

2,198,322

FIXED ASSETS

Intangible assets

9

-

-

Tangible assets

10

80,427

78,515

Investments

11

-

-

80,427

78,515

CURRENT ASSETS

Debtors

12

5,450,762

6,303,775

Cash at bank

4,228,725

2,286,229

9,679,487

8,590,004

CREDITORS

Amounts falling due within one year

13

(2,751,162

)

(2,598,530

)

NET CURRENT ASSETS

6,928,325

5,991,474

TOTAL ASSETS LESS CURRENT LIABILITIES

7,008,752

6,069,989

CREDITORS

Amounts falling due after more than one year

14

-

(891

)

PROVISIONS FOR LIABILITIES

17

(35,752

)

(34,919

)

NET ASSETS

6,973,000

6,034,179

CAPITAL AND RESERVES

Called up share capital

18

5,000

5,000

Capital redemption reserve

19

5,000

5,000

Retained earnings

19

6,963,000

6,024,179

SHAREHOLDERS' FUNDS

6,973,000

6,034,179

The financial statements were approved by the Board of Directors and authorised for issue on 6 May 2026 and were signed on its behalf by:

H Panesar - Director

FIXED ASSETS

Intangible assets

9

-

-

Tangible assets

10

-

-

Investments

11

5,000

-

5,000

-

CURRENT ASSETS

Debtors

12

153,208

-

Cash at bank and in hand

1,951,840

1

2,105,048

1

CREDITORS

Amounts falling due within one year

13

(128,591

)

-

NET CURRENT ASSETS

1,976,457

1

TOTAL ASSETS LESS CURRENT LIABILITIES

1,981,457

1

CAPITAL AND RESERVES

Called up share capital

18

5,000

1

Retained earnings

19

1,976,457

-

SHAREHOLDERS' FUNDS

1,981,457

1

Company's profit for the financial year

2,439,411

-

The financial statements were approved by the Board of Directors and authorised for issue on 6 May 2026 and were signed on its behalf by:

H Panesar - Director

Called up

Capital

share

Retained

redemption

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 August 2023

7,000

5,665,825

3,000

5,675,825

Changes in equity

Reduction in share capital

(2,000

)

(1,150,000

)

2,000

(1,150,000

)

Dividends

-

(689,968

)

-

(689,968

)

Total comprehensive income

-

2,198,322

-

2,198,322

Balance at 31 July 2024

5,000

6,024,179

5,000

6,034,179

Changes in equity

Dividends

-

(565,055

)

-

(565,055

)

Total comprehensive income

-

1,503,876

-

1,503,876

Balance at 31 July 2025

5,000

6,963,000

5,000

6,973,000

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Changes in equity

Issue of share capital

1

-

1

Balance at 31 July 2024

1

-

1

Changes in equity

Issue of share capital

4,999

-

4,999

Dividends

-

(462,954

)

(462,954

)

Total comprehensive income

-

2,439,411

2,439,411

Balance at 31 July 2025

5,000

1,976,457

1,981,457

Cash flows from operating activities

Cash generated from operations

1

3,137,843

2,346,305

Interest paid

(5,043

)

(2,680

)

Tax paid

(639,477

)

(632,912

)

Net cash from operating activities

2,493,323

1,710,713

Cash flows from investing activities

Purchase of tangible fixed assets

(53,524

)

(23,998

)

Sale of tangible fixed assets

236

-

Interest received

110,072

88,023

Net cash from investing activities

56,784

64,025

Cash flows from financing activities

Cashflow from use of sales financing

69,412

67,410

Staff loan

3,612

(3,351

)

Amount introduced by directors

67,628

49,841

Amount withdrawn by directors

(183,208

)

(37,628

)

Share buyback

-

(1,150,000

)

Equity dividends paid

(565,055

)

(689,968

)

Net cash from financing activities

(607,611

)

(1,763,696

)

Increase in cash and cash equivalents

1,942,496

11,042

Cash and cash equivalents at beginning of year

2

2,286,229

2,275,187

Cash and cash equivalents at end of year

2

4,228,725

2,286,229

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2025

2024

£

£

Profit before taxation

2,010,920

2,943,013

Depreciation charges

51,284

23,197

Loss on disposal of fixed assets

92

-

Increase in dilapidation provision

-

16,000

Government grants

(892

)

(892

)

Finance costs

5,043

2,680

Finance income

(110,072

)

(88,023

)

1,956,375

2,895,975

Decrease/(increase) in trade and other debtors

895,571

(332,646

)

Increase/(decrease) in trade and other creditors

285,897

(217,024

)

Cash generated from operations

3,137,843

2,346,305

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 July 2025

31/7/25

1/8/24

£

£

Cash and cash equivalents

4,228,725

2,286,229

Year ended 31 July 2024

31/7/24

1/8/23

£

£

Cash and cash equivalents

2,286,229

2,275,187

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1/8/24

Cash flow

At 31/7/25

£

£

£

Net cash

Cash at bank and in hand

2,286,229

1,942,496

4,228,725

2,286,229

1,942,496

4,228,725

Total

2,286,229

1,942,496

4,228,725

1.	STATUTORY INFORMATION

Permanent Futures Holdings Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The financial statements are presented in pound sterling which is the functional currency of the company rounded to the nearest pound.

Going concern

These financial statements have been prepared on a going concern basis.

The directors have conducted a going concern review for the business, and, as a board, has concluded that preparing the financial statements on a going concern basis is the correct basis to adopt.

In carrying out this review the directors considered the current economic risks and uncertainties facing the business now and for the next 12 months. The company and group have, in the opinion of the directors,sufficient and appropriate levels of liquidity for its trading needs and to service its ongoing external debt liabilities in the form of the property and other lease commitments. The carrying value of the group's assets, both fixed and current, have been assessed and there is no material exposure to losses that would affect the directors' decision to adopt the going concern basis of accounting.

The directors consider the resources currently available to the company and group are adequate for its continued operational existence over the next 12 months and beyond and they have not identified any material uncertainties that would affect the company and group's ability to continue as a going concern.

Basis of consolidation

The group financial statements consolidate the financial statements of Permanent Futures Holdings Limited and its subsidiary undertakings drawn up to 31 July each year.

Subsidiaries combined through a share for share exchange have been consolidated using the merger accounting method. Where necessary, adjustments are made to the financial statements of

subsidiaries to bring the accounting policies used into line with those used by the Group. All intra-group transactions, balances, income and expenses are eliminated on consolidation.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements.

Significant judgements and estimates

The preparation of the financial statements requires the directors to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. These estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events. However, the nature of the estimation means that actual results may differ from these estimates.

In preparing these financial statements, the directors have made the following judgements:

Bad debt provision

Where the group believes that unpaid debtors may result in a bad debt, a provision is calculated, which considers the payment history of the relevant customers, the risk of not recovering and the ageing of the debt.

Dilapidation provision

There is an obligation to make good the conditions of premises in relation to leasehold premises in accordance with lease agreements at the end of the lease terms. The provision represents an estimate of costs to be incurred to meet such obligations. The carrying amount of the provision at the year end was £16,000.

Intangible and tangible fixed assets

Determining appropriate rates of depreciation and amortisation requires an estimation of the useful lives and expected residual values of fixed assets. The net carrying amount of assets is £80,427 (2024: £78,515). During the period depreciation policies were revised on assets classified under fixtures & fittings and computer equipment to a straight line policy. The impact of the change resulted in a debit to the statement of profit & loss of £26,411.

Turnover

Revenue 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. Revenue 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:

Revenues earned under permanent contracts are recognised once the candidate commences employment with the end client. Revenues earned under temporary contracts are recognised in the accounting year in which services are provided.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Domain name are being amortised evenly over their estimated useful life of ten years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Short leasehold

-

Over remaining life of lease

Fixtures and fittings

-

25% on cost

Motor vehicles

-

20% on cost

Computer equipment

-

25% on cost

Financial instruments

Financial assets and financial liabilities are recognised when the group becomes a party to the contractual provisions of the instrument.

Financial assets and liabilities are initially measured at transaction price, except fro those financial assets classified as at fair value through profit or loss.

Basic financial instruments

Basic financial instruments are those with relatively straight forward terms and would normally include cash, bank balances, trade debtors and trade creditors.

Where the arrangement does not constitute a financing transaction, e.g. trade debtors on normal commercial terms, the debtor will be valued initially at transaction price (i.e. cost) and subsequently at transaction price less impairment (if any) due to concerns over recoverability.

Other financial instruments

The group does not have any financial instruments that would not be classed as 'basic'.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments

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

Pension costs and other post-retirement benefits

The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate.