The members present their annual report and financial statements for the year ended 31 March 2026.
The principal activity of the LLP is that of the provision of intermediary services as financial planners.
During the year the LLP became part of the wider Equilibrium group following a transaction under which the group is now backed by Sovereign Capital Partners, alongside the existing Equilibrium management team. As a result of the transaction, the individual members of the LLP resigned during the period and the members of the LLP are now Equilibrium Financial Planning Holdco Limited and Equilibrium Investment Management Holdco Limited. Colin Lawson continues as Chief Executive Officer and the wider management team remains in place, providing continuity of leadership, culture and client service throughout the transition.
The financial year ending 31 March 2026 was a year of both continued progress and significant strategic development for the business. Trading performance remained strong, with total income increasing by 13.1% year on year to £8.0m (2025: £7.1m). We closed the year with assets under management (AUM) of £1.4bn, driven by a combination of market growth and net inflows from both new and existing clients.
The year was marked by heightened geopolitical uncertainty, with ongoing conflict in the Middle East contributing to periods of volatility across global markets. This was felt particularly towards the year end, when escalating tensions weighed on investor sentiment. Against this environment, our long-term, diversified approach to financial planning continued to serve our clients well, and we remained focused on supporting them through short-term market movements while keeping their longer-term goals firmly in view.
Client retention remained strong at 97.2%, underpinned by our purpose of making people's lives better. Linked to this is our mission of helping our clients to live the life they want, look after those they love and leave a powerful legacy, which is reflected in the loyalty of our existing clients. We continued to see strong organic growth in new client acquisitions, 84% of whom were referred by our clients. Our digital marketing strategy, professional connections, and educational events, including a new programme of seminars, continue to be key drivers of engagement.
In line with the FCA's Consumer Duty regulation, we have continued to review and enhance our services and fee structures to ensure good outcomes for all client segments. This ongoing commitment to transparency and fairness remains central to our proposition.
Operationally, we concluded the year with a headcount of 90. Technology continues to play a significant role in our efforts to enhance efficiency and scalability, with ongoing initiatives to integrate AI and automation aimed at further elevating our service delivery. Building on the progress made last year, we have expanded our use of AI across the business. This strategic use of technology allows our team to dedicate more time to what truly matters to our clients, the human touch. By automating routine processes, we can focus on building stronger relationships, understanding individual client needs, and delivering personalised financial planning solutions.
We are proud of our continued commitment to the community through the Equilibrium Foundation. This year, the Foundation raised over £133,000, supported 71 charities, and delivered over 510 hours of volunteer time through team charity days. Since inception, the Foundation has now raised over £1.2m for good causes.
Future outlook
Our goals for the coming year include continuing to grow organically through referrals, events and enhanced digital engagement, expanding our masterclass programme and client experience initiatives, and leveraging advanced technologies such as AI to improve efficiency and client outcomes.
Alongside continued organic growth, the business will pursue a buy and build strategy as part of the wider Equilibrium group. To support this, the group has strengthened its leadership during the year with the appointment of an Mergers & Acquisitions Director, an Operations Director and a Chief Financial Officer. These appointments, together with the backing of Sovereign Capital Partners, position the business to build on its operational and leadership capabilities and to support scalable, sustainable growth in the years ahead.
Having celebrated our 30th anniversary in August 2025, we remain optimistic about the future and are grateful to our team, clients and stakeholders for their continued support.
Principal risks and uncertainties
We operate in a highly regulated environment and remain vigilant to changes in legislation and regulation. Our Risk Committee meets regularly to assess and mitigate emerging risks across the business.
Cyber security remains a key area of focus. We continue to work with specialist partners to ensure our systems are robust and have delivered client workshops to raise awareness and promote safe practices. Additionally, we provide comprehensive training for our team to ensure they are well-equipped to identify and mitigate potential threats. During the year, the group achieved Cyber Essentials Plus certification, a nationally recognised, government-backed standard that requires independent, hands-on testing of our security controls, providing further assurance that our systems, data, clients and people are well protected.
Reputational risk is managed through strong internal governance and due diligence processes. We also conduct regular assessments of third-party relationships to ensure alignment with our values and standards.
As the business pursues its buy and build strategy, we recognise the importance of careful due diligence, integration planning and cultural alignment in any acquisition activity. These considerations are embedded within our governance and decision-making processes.
Economic and political uncertainty continues to pose challenges. To safeguard our clients and the business against potential disruptions, we undertake regular stress tests and scenario analyses, ensuring we are resilient and equipped to navigate a variety of outcomes effectively.
The members' drawing policy allows each member to draw on account of their share of net profits, subject to the cash requirements of the business. Where a member's drawings exceed their profit entitlement for the period, or their current account is in deficit at the period end, the member may be required to repay the excess.
The designated members who held office during the year and up to the date of signature of the financial statements were as follows:
The auditor, Azets Audit Services, is deemed to be reappointed under section 487(2) of the Companies Act 2006.
The members are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.
Company law (as applied by The Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008) requires the members to prepare financial statements for each financial year. Under that law the members have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice. Under company law (as applied by The Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008) the members 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 limited liability partnership and of the profit or loss of the limited liability partnership for that period. In preparing these financial statements, the members 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 limited liability partnership will continue in business.
The members are responsible for keeping adequate accounting records that are sufficient to show and explain the limited liability partnership's transactions and disclose with reasonable accuracy at any time the financial position of the limited liability partnership and enable them to ensure that the financial statements comply with the Companies Act 2006 (as applied by The Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008). They are also responsible for safeguarding the assets of the limited liability partnership and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
This report has been prepared in accordance with the special provisions within Part 15 of the Companies Act 2006 as applied to limited liability partnerships by the Limited Liability Partnerships (Accounts and Audit) (Application of Companies Act 2006) Regulations 2008.
Equilibrium Financial Planning LLP is a limited liability partnership incorporated in England and Wales. The registered office is Ascot House, Epsom Avenue, Handforth, Wilmslow, Cheshire, United Kingdom SK9 3DF.
The limited liability partnership's principal activities are disclosed in the Members' Report.
These financial statements have been prepared in accordance with the Statement of Recommended Practice "Accounting by Limited Liability Partnerships" issued in December 2021, together 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 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the limited liability partnership. 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.
At the time of approving the financial statements, the members have a reasonable expectation that the limited liability partnership has adequate resources to continue in operational existence for the foreseeable future. Thus the members continue to adopt the going concern basis of accounting in preparing the financial statements.
Turnover represents the fair value of consideration received or receivable in the normal course of business, net of discounts and value added tax. Initial and ongoing fees, which are calculated as a percentage of the value of the funds under influence are recognised on an accrual basis when the service has been provided.
Members' participation rights are the rights of a member against the LLP that arise under the members' agreement (for example, in respect of amounts subscribed or otherwise contributed remuneration and profits).
Members' participation rights in the earnings or assets of the LLP are analysed between those that are, from the LLP's perspective, either a financial liability or equity, in accordance with section 22 of FRS 102. A member's participation rights including amounts subscribed or otherwise contributed by members, for example members' capital, are classed as liabilities unless the LLP has an unconditional right to refuse payment to members, in which case they are classified as equity.
All amounts due to members that are classified as liabilities are presented within 'Loans and other debts due to members' and, where such an amount relates to current year profits, they are recognised within ‘Members' remuneration charged as an expense’ in arriving at the relevant year’s result. Undivided amounts that are classified as equity are shown within ‘Members' other interests’. Amounts recoverable from members are presented as debtors and shown as amounts due from members within members’ interests.
Where there exists an asset and liability component in respect of an individual member’s participation rights, they are presented on a gross basis unless the LLP has both a legally enforceable right to set off the recognised amounts, and it intends either to settle on a net basis or to settle and realise these amounts simultaneously, in which case they are presented net.
Other amounts applied to members, for example remuneration paid under an employment contract and interest on capital balances, are treated in the same way as all other divisions of profits, as described above, according to whether the LLP has, in each case, an unconditional right to refuse payment. Amounts payable to members under employment contracts and unavoidable interest on members capital are charged to “members remuneration charged as an expense” in the relevant year.
Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
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:
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:
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 recognised in the profit and loss account.
At each reporting period end date, the limited liability partnership reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
Intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impairment annually, and whenever there is an indication that the asset may be impaired.
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.
The limited liability partnership has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the limited liability partnership's statement of financial position when the limited liability partnership becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method 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. Financial assets classified as receivable within one year are not amortised.
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the limited liability partnership 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.
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 limited liability partnership after deducting all of its liabilities.
Basic financial liabilities, including creditors, bank loans and loans from fellow group companies, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Financial liabilities are derecognised when the limited liability partnership’s obligations expire or are discharged or cancelled.
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 limited liability partnership is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
In the application of the limited liability partnership’s accounting policies, the members 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.
There are no critical judgements or key sources of estimation uncertainty, that the members have made in the process of applying the partnership's accounting policies or that have a significant effect on the amounts recognised in the financial statements.
The average number of persons (excluding members) employed by the partnership during the year was:
Amounts owed by group undertakings are interest free and repayable on demand.
The UK Government backed CBILS bank loan was repaid in full during the year, satisfying the unlimited debenture.
Amounts owed to group undertakings are interest free and repayable on demand.
The UK Government backed CBILS bank loan was repaid in full during the year, satisfying the unlimited debenture.
In the event of a winding up the amounts included in "Loans and other debts due to members" will rank equally with unsecured creditors.
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006.
The auditor's report is unqualified and includes the following:
Equilibrium Financial Planning LLP was a party to an omnibus guarantee and set off agreement dated 9 July 2020 among Lloyds Bank plc, the LLP and related party undertaking Equilibrium Investment Management LLP. This was satisfied in full in year. The total amounts secured by all entities in aggregate amounts to £Nil (2025: £373,333), the liability being a UK Government backed CBILS loan.
At the reporting end date the limited liability partnership had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
The LLP has taken advantage of the exemption available in Section 33.1A of FRS 102, whereby it has not disclosed transactions with the ultimate parent company or any wholly owned subsidiary undertakings of the group.