R•gl•tsr•d numb•r. 2198970 Charlty numb•r: 1042523 EUROPEAN COLLEGE OF BUSINE88 AND MANAGEMEpir FINANCIAL 8TATEMENT8 YE*A ENDED 31 AUGUST 2021 LUBBOCK FINE LLP Chartor•d AGcount•nts P•t•mo•t•r Houio 65 St Paul'• chu￿h￿rd LorKlon EC411 BAB EUROPEAN COLLEGE OF BUSINESS W4D MANAGEMENT IA cornpany Umlt•d By Gu•rnnt•e) CONTENTS Pag8 R•f•r•nc• •nd Mmlnl•tratlv• D•t•ll* af th• Ch•plty. It• Tru•t•H and *AMMr• Tru•t••rf R•port Ind•p•nd•nt Audllor•' R•port on th• Flmnctsl 8t•t•m•nt• 8t•t•m•nt ol Fln•n¢lal AGtlvltl•• 10 B•line• Slwt 11 3t•t•m•nt af CMh Flow• 12 Not•• to lh• FIMn¢l•l 8t•t•m•nt• 13-23 EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT (A company Llmltsd By Guarant••l REFERENCE AND ADMINISTRATNE DEfAILS OF THE CHARITY. ITS TRUSTEES AND ￿VISERs FOR THE YEAR ENDED 31 AUGUST 2021 Dr U Hoppe l R8d8mann Dr E Thome Comp•ny r•gl•t•r•d number 2198970 Charlty rngl•t•r•d Dumb•r 1042523 R•gl•t•rnd offlc• 8￿71 Gr88t Ea8tem Stf••t London EC2A 3HU Prlnclpal Op•r•tlng Offlc•r R Biifs Ind•p•nd•nt audllor• Lubbod( Flne LLP Chèrterad AGGountants Patorn08tor Hou88 85 St Paul'8 Chur¢hy•rd London EC4M 8AB B•nk•r• 8arclay8 Bank plc PO Box No 4578 155 Brompton Road London SW3 1XD Cornme￿8nk 40300 Du88gldorf Gormary Pago 1 EUROPEAN COLLEGE OF BUSINESS AND PAANAGEMENT (A company Llmlted By Gu•ranl¢•) TRUSTEES. REPORT FOR THE YEAR ENDED 31 AUGUST 2021 Thg Trustees pr88ent thelr annual report. which include8 the directorf8 report, tog8lhor Wbth the audrted flnanclal stalaments of th8 Charity for tho year from 1 Septembar 2020 10 31 August 2021. The Annual Report Serv88 Ihg purposes of both a Trusle8s' report and a dir8ctors' report under company law. The Trus109s confirm that th8 Annual Report and financial statsmènts of th8 Charity comply with ihe current Stalulory requirements, th8 requirement8 ol the Chadty5 governing thxumenl and the Provisions of th8 Ststoment of Recommènded Pradce (SORP) applicable to Char￿88 preparing their accounts in accordance wllh tha Finanaal Reporting Standard 8ppllcable In the UK and RopubllG of Ireland {FRS1021 (affectlve 1 January 20191. Since the Charity qualifie5 as Small under Section 382 of th8 Comp8nle8 Act 2006, the Stratsgic Report raqulred of medium and large companies under the Compani88 Act 2006 Istrateglc Roport and Dlrectors. Roport) R8gulalion8 2013 has been omitted. The Tru818es served thg tharity durlng the year ¥￿10 88 followè: Dr U Hoppe l Redamann Dr E Thom• ObJ•ctlv•• and Pthlvltlo8 Tha alms and objeclivgs for vthlch the Charfty 18 08ts1418hod ar8 the adVarK8m￿t of aduc8lk)n, 88pgcLqlly In bu8inè88 8tudie8, and training for employinenl. This incr8a888 8mployabillty and Skills In a futufe an￿rOnment whore 8uch 8k1118 wlll b8 at • promium. The Charity, wthen pur8ulng Its obl8dve8. also alms to 8UPPOrt indlvldu818 vtho, out of1o¢k of finandal means or olhgr reasons, potential￿ might not be ab￿ to benefit from tha 8ducatbn81 actlvlts'e8 provldod. Th8 stralggi98 for achIe￿ng th8 coll8g8'8 aims and obloctlv88 are to d8v8lop programmos of educallon and VOG8lw)n81 trainlng and d8lw8r them in 8 W8y th8t enable8 tham to participate at the 8ame tfjme 88 galning expedence at work or In further Jludy e18ewhere. Through118 connecllon8 wllh thè 8rok8rage 8nd omptyer8 8uch as Commerzbank, Ngwlon Asset Manag8mont and Ruff8r LLP. tha ChorRy opgrate8 the Hbher Educ8tlon Vocallonal Tr81ne88hip Schame. For the forthcoming y88r the number of young people recruited on to this programme has been 17 Students in years ono 8nd two of tho programme (lower than In the pr8viou8 yaar, but that was a particularfy largo intske), and 19 conllnulng onto Ihelr lopup Bachelor (90% higher than In the prevlous ￿ar1. This continues the r8cord of haalthy rocruilment on the programm8 lor thls t￿e of programme in recent years, and the 8ch8me remains in a stable condition. Th18 long standing programme opens up the po8slbS1ity of a c8reer In the financial services ¥ector lo th81 people who othgrthse V•￿uld not ne￿$￿8T11Y havo con8Sdered 8uch an option land increa8lngty do not hav8 th8 financlol means lo ambark on a hlgher 8ducalR)n couw). 11 al80 provkles 8 8trong bots81 to diversity in background of recruitment al the Collegè. Local pgople. and elhnlcalty div8r88 8taff. ar8 evidgnuy under-represonlad In tho financial seNices industry in thg City of Lon(ion and this actiwty aims to address th18 Imbalance. The Ch8rity a180 provldeg subsidisad aducatK)n for students vého tsk8 part in short courses which enhanc8 Ihoir under8tandlng of cross4ultur81 issues, whlch18 ol growing importance for the country as we seek to display an outsvard-facing iinoge to the world post-Brexit and provide young people vAth th8 8kllls to compete globally. The funding Ihase student8 rgceive Is through tha Erasmus Plus project, and this is still potenlk?Ily available in future notswthst8nding the UK'S departura from the European Union. Studant numb8rs wero 8ubstsnt6ally 8ffocted by the pandemic, and the inability of young people to travel to tha College. This h88 baan the key reason for the recordlng of a deficit in the financial year to 31 August 2021, though there 18 8ti11 'pent-up' demand for these courses. These rostrfctbns were pradicted in thg forocasl budgets last ￿ar, and the Colleg8 does expect the b8ginning8 of a r8cov8ry in student number8 for short courses in this coming yoar. The Charity would normally also provida fra8 short cours9$ for Brokerage, lor more than 20 local school pup118 each year. These ara young peopl8 who might otheTr*lse not go Into carg8rs In the City, and are from local. diver¥e 8nd underprivileged backgrounds. Ahhough, once again, the pandemic ha$ caused a suSpens￿n of this offer, th8 Charity w￿1 be exploring ways lo reactivata that connection as we rerAJvar from tha offects of Ihe pandemic. Page 2 EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT IA ¢ompany Llmlt•d By Gu•rnnte•) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2021 In 80tt1ng the obl8ctlv6s and plannlng the activibeB of the Charity, the Tru8ta88 have g￿en careful considera￿On to th• Charity Commission's ggneral guldance on public benefft. P•rforni•nc• Demand for Ihe Charity8 programmes IHNDICMUDMUBAch¢lor Pfogrammes, DSMUMBA programmes and PDPS IProfesslonal Devalopmenl Programma$l) has been been offecled by tho r8slriclion8 Imposed due lo the pandemic. though the Vocalbnal Traineg Scheme continuing to achl8v8 good numb8r8. Brexit continuas to cast shadow of uncartainly across busin8ss and educ811on, but the maln 8ff8ct has beon due to tho pandern￿, and Specifically the tr8vel ra8tricltr)n8 on studènts visiting th8 College for short course6. There 18 positive new8, In th81 there remains a clear d6mand for these coursas, and Ihg Charlty ha8 budg818d for a récovèry in Btudanl numb6r8, 3tartlng in the spring and Summer of the comlng flnanclal year. Expenditure continues to be monilorgd and Mntrollgd and although re88rves have bean drawn upon In th888 difficutt limes, the f8Ct th8 Charity has built up a strong 18vel of re88rv88 8tto$ts to th9 exogllenl record of pnjdent finandal m8nag8menl. The Charlty con￿nU&S to bo wo11 placed to survfvg the current condittons, and altho￿h th• Mcov8ry wlll bo gradual. thgre18 certainly a positive outlook for the coming year8. Fln•ncl•l R•vl•w The Charfty racorded 8 dellclt 01 £136.929 In the flnandal yoar endlng 31 Augu51202112020 - £355,753). Thls wa8 a lower flgure than èxpected lapproxlmalgly £126.000 lowgr than Ihe predicted and budg818d def￿1. and tho 108$08 were amellorated by both tha govemmenl furlough Bch8ma r8duclng expendlture and th development of onllne cour888 that ware able lo roplace ￿me of Ihg prov18kJn for 8ludants. The Charlty conllnue8 to bg prudentty managed. Total fund¥ hold by the Charlty as of 31 Augu8t 2021 aro £1.676,841 {2020 - £1.813,5701. The ch8rlty does not hold any reStr￿ted fund8. A8 mantioned In tho prevlous 80Ctlon and In la8t year'8 6t8temonts. tho axll of the UK from the Europoan Unlon pre88nt8 challeng88 which Ilill cannot b8 fulty 88en, 8spec181ty due to Ihg Cor￿lnUe￿ eff8ct8 of tha pand8mlc. Th8 Chadtys re¥erve8 policy 1$ to build up res8rve8 whlch are 6ouivalont to tho value (historic cost81 of Its prgm1888 plus half the annual lumover. Thls has b88n on Important policy, as it ha8 enabled the Charlty to m8lnlaln It8 op¢raUons durlng tho financlal difficult￿8 caused by the pandemlc. Pl•n• for Futur• Porlod• Tho outlook for 2021122 18 one where the Charity w411 alm to mport • r¢duction in Ihg dgfidt but malntaln 118 Iln8ncl81 slablllty. The Charity remains confident that It can matntain a sound over811 financial position In the comlng finand81 ￿81. bul the récovary from thg P8ndemlc wlll be 81ower Ih8n at fir81 predicted. Tha Ch4rity alm¥ to break-even. bul tho 8itualion 16 conBtanlty developlng. Th6 important polnt to notg is that the recovery In emand for cour8e8 is still oxp6ct8d in th8 coming year. Thg overall alm bB to on8ure that the 8ervicos of tho Charity continue to bg relgvanl and sgrv9 the needs of Its benaflclart86. The UK exite(l the European Union in January 2020. poslpongd from March 2019 and Ock)ber 2019. and il r8maln8 the ease that this can adv8rs8ly affect Ihe 8bilty of the Charty to attract numbors on Short cour8gs la mainstay of Ihg College's actlvfjtle81. Plans have baen pul In place. however. lo respond to this challenge, and the f8Ct Ih8t Erasmus fundlng will continua to b8 availabb to stu(lants on these short courses 18 an important devekjpment for the futur6. Page 3 EUROPEAN COLLEGE OF BUSIN&8S AND MANAGEMENT (A company Llffllted By Gu•rants•l TRUSTEES, REPORT (COMTINVED) FOR THE YEAR ENDED 31 AUGUST 2021 Strnclurn. Gov•manc• and M•nag•m•nt Tho European Collago of Bu8ine8s and Managament incorporated al a company Ilmit8d by guarante8 on 26 Novembgr 1987 and wlglered 88 8 charity on 1 Decémber 1994. It18 govgrned by Its momor8ndum and 8rtSde8 of a880d81ion. Th8ra18 a strong bond belwe8n the charfty and the German British Chambar of Indu81ry and Commer¢o. The Ch8mbgr18 ¢￿e of the maln 8UPPOrter8 of the Charity and has common board m8mb8r8. The appointmonl of trustees 58 regulal8d by the Ch8rlW$ Memorandum and Articl08 of A8SOCi8tK)n. The ptyver of appointment of n8w tru8lt89 11è5 With the members and existing Board of Tru8loes. New trustees are recrulted based on Iholr attfibute8 and Ihg requirgments of the Charfty, and ara famili8rf8ed wllh the work that thè Charity undertakes through moetings and discu88lon6 with th8 Board of Tfu8t868 and olhor omploye8$ of tho Chartty. Th& 808rd of Tru¥la89 meets regularfy during th8 y8ar bLrt delegate8 the day-to-day runnlng and m8nagem8nl of the Charlty to the Princip81 Oporating Officer (who Is thè Director and CEO), who meets with tho Chairman of the Board every month. Arrangemen18 for Satting pay 8nd r8munaration of key m8naggment POT8onnel 8re docided upon by thé Chalrman and tho Prlndpal Operalbng Officer, 8nd general policy 18 10 incre888 staff remunorat(on to compan8ale for Inffl8tlon plu8 a Bmall InCent￿e Increase acros8 th8 board. Th8 Board of Tru8ts68 r•gul8rW Cond￿1¥ • full rwi8w of Ihg major rl8k8 to whSch tho Charfty 16 aXP08ed and has e¥tabli8had appropriate 8y8lem8 to mitigalo theso ri8k8. The8e rl8k8 and the related sy8t•m8 •ro reviewed regularfy by the Board of Trusl888, alongslde any now risks to which the Charity ki exposed. 8t*tsm•nt of Tru•t•••' R••pon•lblllti Tha TnJsle88 (who are also th8 dlrectQTS of tho Charty for the purpo89s of company lawl are re8pon8ibla for prnparing thè Tru8te8B' Raport and the finoncial 8tataments In accordanc8 wth applicablè law and United Klngdom Accounllng Standards {Unlted Klngdom G8n8rally Ac¢epl¢d A¢¢ounling Pra¢tico). Companylow r6qulrnB th8 Trustoes lo preparn Ilnandal 8talemants for each flnandal ￿Ar. Under company law thg Trustees mu81 not gpprove the financlal 8latements unle8$ they aro 84118fied that they givg a trug and falr vlaw of the 8tste of affairs of tha Charity and of its incoming re8ourGes and applicalbn of re80urce8, Indudlng h8 In¢ome ond oxpondilure, that perfod. In preparfng the80 flnanclal 8talements. tha Tru81•88 are r8quirnd to.. Jelect 8Urtable accountlng pollcie8 and Ih8n appty Ih8m ¢>)niiBt8nty. ob80rv8 th8 m8thod8 and principlas of the Charities SORP IFRS 102): make ludgmant8 and a¢¢ountlng a$tlmale$ that aro re080nable and pruii8nt: stale whèthèr #pplicabla UK Accounting Stand8rt18 {FRS 1021 have been followe(1. 8ubjecl lo any maleriBI dopartur8¥ di¥¢b¥gd and explaingd in the financial stalements- preparg tho financkql statements on the golng concem b88L8 unle88 h Is Inapproprfatè to prèsumg that the Charity wlll continue In bu8ln888. The TfuBl8es 8rè r88ponsibl8 for kgeplng 8dgquat8 accoUn￿ng record8 that are 8ufflci8ftt to show and 8xplain Ihe Charitys tran88clion8 8nd d18cIo8e wlth raasonablè accuracy at any time thg financlal positton of the Charlty and enable them to 8n5ure that the financial $tatemgnl$ comply with the Companles Act 2006. They are altso responsible lor safeguarding the a88el$ of the Charity and hence for taking reasonable steps for th8 PreVent￿n ond d8toctYJn of fraud ar￿ other Irregul8r6tle8. Page 4 EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT (A ¢omp•ny Llmll•d By Guaranto0} TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021 Dl•clo¥ur• of Inforni•tlon to Audllor• Each of tho pw8on8 who are Truste88 at the lime ththen this Tru6lae8' Report is •PPfoved has conffirmod th8t: 80 far a8 that Tru8te8 L8 awara. theré is no ralovant audit irrformation of which tho tharity8 auditors ar8 un8war8. and Ihat Trusloe h•s tsken all tho slops th•t ought lo have bgen takon 08 a Trustee In order lo b8 aw8re of any relevant audit informatlon 8nd to 08tabli8h th8t the charity8 auditors aro aware of that wiformation. In preparlng th18 report, the Truste8s ha￿ tak•n odv8ritago of tho Small ¢omp8nTr•8' •x8mptbn providgd by 88ctkJn 415A of th8 Comp8nl88 Act 2006. by rof the rn•mbers of tho board of Tru$te86 and 8&ned on tholr behalf by. Dr U Hopp• Tru8190 Page 5 EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT (A Company Llmltsd by Guarnnt￿) INDEPENDENT AUDITORS. REPORT TO THE MEM8ER8 OF EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT FOR THE YEAR ENDED 31 AUGUST 2021 Oplnlon We have audlted the flnanclal 8talomonts of Eurown Coll8g8 of Bu8in888 8nd Managament (the 'charityl for the year ended 31 August 2021 I￿1¢h comprise the Statement of Financial Activities. thè B81anca Shoat, the Stat8manl of Cash Flows and the related notes, including a summary of Significant accoUn￿ng pollcies. The financial roporting framework that ha8 been applled thelr praparalion 18 applicablg 18w and Uniteij Klngdom Accountln9 Slèndard8, including Financial Reporting Slandard 102 'The Flnanclal Raportlng Standard appllcable in tha UK and Republlc of Ireland, IUnit8d Kingdom Generally Accep19d Accounting PraGli¢o). In our oplnSon the flnanGlal statem8nts-. give o true ond fair view of tho state of the charitabl8 company8 affair8 88 al 31 Augus12021 Bnd of tt8 incomlng ro8ource8 and appli￿tIOn of ro$our¢08, Including Its Income and expenditure for tho year then 8ndad', have been propgdy wepargd In accordanco vAlh Unltsd Klngdom Gènerally Accaplad Acc(yJntlng Practic8,' and havé prnpared Sn accordance wth the requiremgnt8 of thg Companlos Act 2006. Ba•1• ft•r oplnlon W8 conduct6d our audit In accordance with Intern8llon81 Standards on Auditing (UK) IISAJ {UK)l and applic8bl6 law. Our responsibllilies undar tho8e Btandard8 are further d88cribed in the Auditors, r88pon8ibilillo$ for tha audit of tha financial 8talemenl8 88Ctlon of our report. Wo aro indepèndent of the charitabla company in accortlance with tha 8th1￿1 r8qulrem8nt8 that are relevant to our audit of the financial slatem9nls in tho Unltsd Klngdom, Includlng the Fln•n¢io1 Reporting CouncM'8 Ethlcal Stand8rd. and we havg fulflll8d our Othgr elhlcal responglbllitle8 In 8ccor(1onco ￿th the88 roqulroments. Wo bèllave that the audlt ￿dence we have obtalnod 18 8ufflclanl and approprfate lo pro¥lde a ba8ls for our oplnlon. Con¢lu•lon• r•l•tlng to golng conc•m In audhlry th8 finandal Statements, we have wicludod th* tho TrustO88' U88 01 the gokno concarn ba818 of accountlng In th8 prop•rnlbn ol th8 financlal 8tstements18 appmprfate. Based on Ihg work hav8 p8rformed, w8 hovo not idenlifi8d any material uncertalntle8 r818llng to ovents or conditlons that, Indlvidually or collecllvely, m8y cast significant doubl on the charltable companV8 abilNy to continue 8s a going concèrn for a per*)d of at 18ast twe￿8 monlh8 from when the finanual statements are aulhori8ed for i88ue. Our r88ponslbllili6g and the r8spon81blllil88 of th8 Tru8te88 ￿th re8pecE lo golng ￿n¢6M oro descrlbad In I relevant 8ection8 of th18 roport. Paga 6 EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT (A Company Llmltod by Guarantee) INDEPEMOENT AUDITORS, REPORT TO THE MEMBERS OF EUROPEAN GOLLEGE OF BUSINESS W40 MANAGEMENT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021 other Informatlon Th8 othèr Inf¢xmaUon ¢Crfnpr1$￿ th• Informatbn Includld In th• Annual Report othgr than tho financlal stslemonts and our Auditors, Report thereon. The Trustees are rosponsible for the othor inf0m1at￿n contain&l thin the Annual Report. Our opinion on the financial statements does not cover the other infomalKin and. except to thé extent othefw18e explSclUy ststed In our report. w8 do not expmss any fom of a8surance conduBion Ihereon. Our responsibS1ity is to read the other infomi8tion and, in doing 80, consider whether Ihe other information18 materially inconsi8tenl the financL918t8temants (K our knoW￿dge obtained in the cour88 of the audit. or olhetM8e appears to be malarSally mL8stst8d. If wa Id8ntWy 8uch matèrlal Incon8181ancl88 or appar¢nt m818rfal mlsBtataments. ￿ are required lo determine whathar this g￿08 rlB8 to 8 malarial mlsslatsmont In Ihg financial 8tstements Ihemsolves. 11, base(l on the work we have perfomied, we concluda that ther818 a malarial ml68tatemenl of th18 Othor Informatlon, wo are requlrod to raport th8t facl. We have nothlng to r8port In thLg reg¥rd. Oplnlon on other matt•r• prnscrlb•d by th• Companlo8 Act 2006 In our oplnlon, b8ts￿ on th• work und•rt8k•n In th• courso of tho 8udil'. the InfomaUon glven In the Tru8t888' Report for tha flnanclal yo8r for wthlch thè flnanclal 8tatèm•nts 8r• prep•r8d is ts)nsisl8nl wlth thè financial stal8mènts. th8 Trustees, Report h88 b88n pr8par8d in acojrdance %•Ath appllcabl8 kg81 roquirements. M*tt•r• on whlch w• Ar• r•qulr•d to r•port by •xc•ptlon In the Ilght of our knowlodgg and undgrstsnding of tho charitab￿ company and tts en￿rOnMent obtalngd In the course of tho audlt, we have not Idgntrfied materfal mi88latamants In the Tru8tee8' Report. W8 havè nothlng to rnport in rn$po¢t of tho folknving m•ttarn in rolation to whith cl￿PanY&S AGI 2006 requlre8 u8 to report to you rf, in our oplnlon.. adequate accounung records have not been kept, or retum8 adequate for our audrt have not been recefv8d fr¢Nn branch88 not v5811ed by u8; or the financlal statements are not In agreement whh the accounting recorés and r8tum8; or certain dlsclosures of Tru61888' r8mun8ratbn spècified by law ar8 not made.. c we have not r8c8ive(l all the Information and explanations we require for our audit: or the Trusl8é8 wèr6 not enlill6d lo prepara the finan¢i•l $tstom¢nts In aC￿rdance with tho smo11 wmp8nl98 reglme and t#k8 advantag8 of the small comp8ni8s' oxempb'on8 In prgp8rfng the Trustse8' Report and from the requirement to prepare a Strategic Report. R•$pon8lblllU•• of Iru•ts expl8ine(I more fvlly In the Tw8tee8' Responsibilities Statement, tho Trustees (who are 8180 tho dlreclors ol the charitable company for the purpos85 of ￿rnpanY law) 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 Truste9$ detemiine is necessary to en8bl8 PreParat￿jn of financial statements Ihat are free from materi81 mis8talement. whether due lo fraud or error. In preparing tho financial Statements. tho Trusts68 are responsibb for assessing tha charitablg companys abillty to continue as a going wncam, disclosing, a5 applicablg, Tnatt8rs relalad lo going ￿nCern and using Ihg golng concarn basis of a￿ountIng unless the Twstees either intend to liquidalo the charitablg company or lo cease operations. or have no realistic allemalNe but lo do so. Paga 7 EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT (A Company Llmlted by Gu•r•nt•el INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF EUROPE*￿ COLLEGE OF BUSINESS ANO MANAGEMENT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021 Audltorn. re•ponslbllttl•s for tho audlt of th• flnanclal •talem•nts Our oblectr¥88 are lo obtsln rea8onablo assurance about wthether Ihe flnand818tatements as a vthol8 arg fre8 from malerlal misstatement. wh8lh8r due lo fraud or error. and to 188ue an Audllors. Roport Ihal indud88 our opinion. Reasonablg assurancg is a htgh 18vel of assurancé, but is not a guarantee that an audit conducted Sn accordance with ISAS (UK} will aKYay8 del8cl 8 material mis51at8ment when it exists. Misslalemant8 can arl80 from fraud or error and are con5idere(I material if, indiwdually or in the aggr8galé. thay could rgason8bty bfr axp8clad to Inllu8nce th8 oconomic decis￿n8 of u8ar8 taken on the basis of these finanual 8tal8monls. IrregulorS1108, Including fraud. are Instances of nonrk th81 the charity operat88 In. Iocu81ng on proVIs￿n3 of tho88 laws and Tegulatlons that had direct effect on the delemlnallon of m8tsrlal amounts and di8c108ure8 Sn the flnancial statemgnt¥. The key law8 and reQu￿tIOnS we con$id•r•(l in th18 context Induded th UK Charilb6¥ Ad, charl￿98 SORP 2019 ar+d Hlgh8r Education SORP 2019. In addillon, we considèrod provision8 of other law8 and regulallons that do not havo o dlfect effect on th8 financial stalamonts but compllanca wrth vthlch may be fundamental to the ch8rW8 abllSty to opèrats or to avold material pgnalty. A8 8 ra8uII of th880 procedures, we consldered the particular èreas that w8r8 $u8ceplible lo mi88talement du• to fraud wero In r88pecl of manag8mant ovorride. Our wocodura8 to res￿nd to rlsks Identif￿ includgd tho follo￿ng.. R8vi8wing the finanGio1 8latemgnt dk8c108ur88 and testing lo supporting documentslK)n lo a88e88 complianc8 wrth provisions of relgvant law8 and regul#lion5 de3crib8d as having a direct effect on tho rinancial statements., Enquiring of m8nagement concaming actual and potgnlial lilvJation and clalms; Pgrformlng ana5ytiC81 procedur08 to Identify any unusual or UneXp￿d reLgtion8hlps that may hJi¢ot¢ risk of material m188tatsmenl due to fraud: Raadlng mlnLrtes of meetlngs of those charged with govgrn8nce', In addressing the rfsk of fraud through managgmenl override of controls.. 888essing vthethor Ihg judgements made in making aC￿unting estimates are SndtcalNe of a potanlial bias: and Bvaluat+ng the rationale of any BIgn￿l¢an1 transactions that are unusual or outskle the nomial course of the chari￿8 operations. Pagg 8 EUROPEAN COLLEGE OF 8U8INES8 AND MANAGEMENT (A coM￿nY Llmlted by Gu•r•nt••) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF EURope*>4 COLLEGE OF BUSINESS AND MANAGEMENT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021 88C8U88 of the Inherent limitations of an oudit, there is a rtsk that we will not datscl all Irragularitk8S. including those lèadlng to a malerlal mi88t8tem8nt in the financlal statèments or non-compllance wlth regulation. Thi8 risk increa6e8 the more that compli8nc8 with a law or rggulatw Is removed from the events and tran88cllon8 rallecled In the flnancial Statements. as wo will bg loss likely to becom8 awara of In8tanca8 of non-¢omplian¢a. The risk 1$ 8180 gr8ator regarding Yregularilies occurrlng due lo fraud rathar than orror, a5 fraud involvos intenli¢)nal con¢e81menl. forgery, coIIu8ion. omi88knn or m1sr8presènta￿n. A further de8¢rfpth)n of our ro8ponslblNtles for the audlt of the flnancLal 8tal8ment818 Ioc8tsd on tho Fln8nri81 Reportlng C¢)uncll'8 web8119 al: Th18 dg8¢ripli¢)n forms part of our Auditors, Report. Uu of our r•port Th18 report Is made 801ety to tha charllablè ¢ompons18 mombor8. a8 a body, in acconjance with Chaptor 3 01 Part 16 of the Companies Act 2006. Our audll work ha8 bgen undert8kon so that we mlghl 8tate lo the charft•bl8 comp8nls members th088 matters we are requlred to 8tal8 lo tham In an Auditors, Report and for no other purp95e. To the ful￿51 extent permltted by law, we do not accèpt or a88umo ra5pon8ibllity to anyone other than the charilable company and Its mémb•rs, 88 8 body, for our audit work, for th18 report, or lor tha oplnlon• have fomed. D•vld Ch•ndrn (Senlor 8talutory Audknr) for and on behalf ol Lubbock Flna LLP Ch8rtar8d AcGountsnts P81emo818r Hou8e 65 St Paul's Chur¢hy4rd London EC4M 8AB 13 December 2021 Pag8 9 EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT (A Company Llmltod by Gu•r•ntw) STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 AUGUST 2021 As rnstat•d Total fund• 2020 Total fund• 2021 Not• INCOME Tuition fa8s and 0ducall￿ Gontract8 Investmonl income 937.299 277 1,268,727 1,878 TOTAL INCOME 937.576 1,270,605 EXPENDITURE Charitabla actlvilb88'. Staff costs Olhor oporaling •xpenBeJ Oeprociallon Int8r88t and othar financè co$ts LOSB on di¥p0881 of fixe(i a8sets 696.054 328,136 43,406 6.162 747 791.801 767,108 43,787 23.882 TOTAL EXPENOITURE 1.074.505 1,626,358 (DEFICITV8URPLUS FOR THE YEAR 1136.9291 {355.753) RECONCILIATION OF RESERVES: Tot81 re8erve8 brought lo￿ard Net movem8nt In re8orvo8 1,813.570 1136,9291 2,169.323 {355.753} TOTAL RESERVES CARRIED FORWARD 1,676,641 1,813,570 Tho St8tom8nt of Comprohen8lve Income Indud88 all galn8 And1088as rocogni8•d In th8 ￿r. All Income and 8xpendlturg In 2020 and 2021 related to unrestricted re8eNe8. All118m8 of Income and axpendlturo rel•te(I to ¢onlnut6ng ￿￿¥1￿81. Tho not95 on pages 1310 23 fomi part of the8& financial 8latom8nts. pa￿ 10 EUROPEAN COLLEGE OF BUSINE&8 AND MANAGEMENT (A Company Llmltsd by Gu•ranto01 BALANCE SHEEr REGISTERED NUMBER: 2198970 A8 AT 31 AUGUST 2021 AB rMtat•d 2020 2021 NONIURRENT ASSEf8 Tangible fixod a88ot8 CURRENT ASSET8 1.073,168 1,091,010 Trado and olh8r roc8lv8bleB Cash and ca8h gqulvalent8 31Y),389 946,4S8 410.558 1.183.090 1,246,825 1.593.648 Credltor8: amounts falllng due ￿thIn on8 10 1643,352) 1887,906) NeT CURRENT A8SEf8 TOTAL ASSETS LE88 CURRENT LIABILITIES 603,473 725,740 1.676,841 1.816,750 Crgdltor8'. amounts falllng due after moro than one ￿ar 11 {3.180) NEf AS3Ers 1,676.841 1,813,570 CHARITY RESERVES Unrn8lrlct8d re¥erve8 15 1.676,841 1,813,570 TOTAL RESERVE8 1,676,641 1,813,570 The financial 8talemgn18 ha￿ bean prepared In a¢¢ordon¢e tho provi8K)ns Ippli￿ble to entities Jublect to the 8mall compan￿5 regimo. Thefinanclal Statements ware approved and authod8ed for188U ythe TrustO0$ and slgnod on Ih•lr behalf by. Dr U Hopp• Trustee R•d• Truslee ann Datg.. Thè not68 on paga$ 13 to 23 fonn part of th￿0 ffinanc4al 8tatements. Pagg 11 EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT IA Company Llmltod by Guarantee) STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2021 A• r•8tat•d 2020 2021 Ca•h flow• from op•rntlni •cllvltt•• Net cash lusod Inyproduced by operatlng adv￿86 18 1210,6021 1224.1401 C•#h Ilow• fram Inv•Jtlng actlvltl•• Bank interest rocoivab Purcha8e of tanglble fixed 888•ts 277 (26.309) 1.878 (2,3671 Not c•*h u••d In Inv••tln9 •Ctlvlll•# 128,0321 14891 Ch•ng• In c••h and cuh •qulval•nt• In th• y••r C88h and ￿9h aqufvalents at the boglnnlng of the yeor 1238,634) 1224.6291 1.183,090 1.407,719 Ca•h and c••h •qul¥•l•nts at th• •nd ot th• y•ar 19 948.458 1.183.090 Tho nota8 on pall￿ 13 to 23 forn part of tho88 finandal 8tatemanto Pago 12 EVROPEAN COLLEGE OF BUSINESS AND m*￿AGEMENT (A Company Llmltod by GuarnntO0 NOTES TO THE FINANCIAL STATEMENT8 FOR THE YEAR ENDED 31 AUGUST 2021 AccouKfiNG POLICIES 1.1 B•sls of pr•p•r•tlon of flnanclll statements The flnanGial ststoments have been prepared accordancè wlth tho Charit188 SORP IFRS 102) - Accounting and Reporting by Charlti88.' Sl•tem•nl of Recommonded PraGlicg applicable to charit￿9 preparing Ihair accounts in •¢cord8nca ￿th th8 Financial Reporting Standard applicable in the UK and Republic of Irelarbd {FRS 102118ff8ctN8 1 January 20191. the Financwl Reporting Standard ppIIc8ble in the UK and Republlc of Irèland {FRS 102}. the Slatement of Recomm8nded Pract Accountlng for Further and Higher Educalh)n18ff8ctlve 1 JBnu8ry 20191 IFEIHE SORP 201918nd the Compan188 Act 2006. Whgre difforencos arise between th8 cha￿￿88 SORP IFRS 1021 ond th FEIHE SORP 2019 tho FEIHE SORP take8 precadenc8. European Colhg8 ol Bu8ingS8 and M8nagoment megts tha deflnkkin of a publlc be￿￿1 ¢ntity undor FRS 102. A8S818 and 118bi1thg8 Bre initially recogn186d al hl8torlc•l (>)&t or transacllon Yaluo Un￿98 0th8rw8e 8tsted In the relevant 8ccounUng pollcy. 1.2 Comp•ny •talu• The Charty 18 8 company Ilmltod by guarantee. The mfrmbers ol tha charitable company 8r8 tha Tru$loe8 namgd on page 1. In the event of the Charfty boing w￿rKI up, th• liability in resp8Ct of the guaranloe IJ Ilmllgd to £10 per mamb8r of tha ChArMy- The r8gist•r8d office 8ddros8 arKI prfndpal placa of bu8ln88818 8￿71 Graal Ea$tsm Stro8t, Lorbdon, EC2A 3HU. 1.3 R•MTh•• •c¢ountlng G8n8ral fund8 are unreBlrlctsd fund8 whlch 8r8 av8llabkn for u88 at the dl8cretlon of th8 Tru8ts08 In furth8ranco of tho g•nar81 ObloCt￿p6 of the Charlty and whlch have not been de8lgnatod for other purposes. In￿stm•nI In¢c*no, galn$ 8nd108898 are albcated to tho approprlat8 fund. 1.4 Incom• All Income is recognisod once tha Charity h•8 onlitlgmenl to th8 Income, It 18 pn)bable that th8 Income will be r•caiv8d and tho •mounl of inGome rgceNabb can be mea8urad rellabty. Course fges and rel8tad Income. net of dlrect C08ts. Aro recognlsod kn the poriod in which the courn8 takes place. 1.5 Intsr••t r•colvablo Interest on funds hgld on deposrt 18 Included whan r8c8ivablp and the amount can ba measured reliably by the Chadty: thls 18 nomalty upon notrfThtion of tho interest paid or payable by the Snslllulion whom the funds are depositsd. 1.1 Exp•ndltur• ExperKliiure Y8 recc*3ni5od once there i¥ a legal or (>￿SlIuCti¥e obligation lo transfor ery)nomiG bgnefft lo a third paty. it is probable that a tr8n8f8r of economic benefts will be r8quir8d in Sett￿ment and the amount of the obllgatlon can b8 mèasured relbbly. Charitable activity costs incurred on tha Charitys educational operations, Ind￿ling support ojsts and costs relating to th8 govemanco of Ihg Charity apportionod to Gharitable activities. P8g8 13 EUROPEAN COLLEGE OF BU81NESS AND MANAGEMENT (A Company Llmlted by Guar•nt••} NOTES TO THE FINANCIAL STATEMENT8 FOR THE YEAR ENDED 31 AUGUST 2021 ACCOUNTING POUCIE8 (CONTINUED) 1.8 Exp•ndlturn (Gontlnuedl All expandibjm 18 inclu8iva of irr￿18Tablfj VAT. Other operating expen888 r8pre88nl th088 COBIB Incurrod dire¢tty in 8UPPOrt of oxpenditure on the objects of thè Charlty and indude project man8g8ment and cos18 Incurred In connection wlih admini$traUon of the Chadty and c(Mnpllance wrth con8Itullon81 and stslutory rtsqulTem6nts. 1.7 Tanglble flx•d a••at• #nd d•pr•¢latlon Tangibl8 fixed a588ts are carrled al cost. net of depreclatbon and any provision for impairmont. DeprecSallon18 not ch8rg8d on fieohold18nd. Depreciation Is provided at rate8 calculated to wrlie off tha COBI of flxad A680ts, 1OB8 thelr 981imalgd r081dual value. over th8lr exp8ct8d us8ful Ilvo$ on the lollowiry bas48: 08pMcK•llon IB prcwld•d on thg following ba8e8: Freehold prop8ty Equlpmont Propgrty Improvemen18 2% Jlraight Ilne 20W30% reduclng balance12￿￿ 8tralght Iln8 5% slralght Ilne 1.8 Tr*d• and othor r•￿1vabl Tradg anij other debtor8 are recogn188d at the settlement amount after any tr8de dlscount offorod. Prepa￿nent8 Aro valued at the amount prepald net ol any trade dI8coun18 du8. 1.9 Cmh and c••h oqulval•nt• C88h and cash equIva￿nts Include8 C88h and 8hort-lami highty liquid inv88lmont8 ￿th a short maturity of three month3 or 1888 from the date of •¢qui$iti'on or opening of the deposit or 81mllar accounl. 1.10 Ll•bllltlu and provl•lon• Ll8bilitiM are rgcogni8gd whgn there l• an obllgatlon 8t th8 Bal$n¢o Shoot d810 88 a rfj$ull of 8 pa81 event, It18 probable that a transler of economic b8nefit wlll bg required in 8ettlgment, and the amount of the sètuamont can b8 88tim819(I reli8bty- Llabllstie8 are recogniged al the amount that the Charity antldpote8 it will pay to settle the debt or the amount It h88 recèived as advBncgd poyThenl8 for tha goods or 8eplce8 It mu8t p￿d•. 1.11 Flnan¢l•l In•trum•nt• The Ch•fity onty has fI￿ncl81 assets 8nd finandal liabllitl88 of a klnd that qualify a5 basic financigl Instruments. B88ic financial in8truments are Iniualty racognlsèd al trans*c￿1n valua and Subsequent m888ured at their 8ettl6ment value with the oxceplion of bank loan8 whlch are 8ub8aquent measured al am(xtisod c051 using the effeclbve Int6r88t method. 1.12 P•n•lon• Thè Charlty oporale$ a defined conlribuuon pen8kin 8ch8me and tha pen$lon charge represents tho amounts payable by the Charfty to the fund in respect of the yoar. P8ge 14 EUROPEAN COLLEGE OF BUSINESS ANO MANAGEMENT (A Company Llmlt•d by Gu•rnnt•e) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 ACCOUNTING POLICIES {CONTINUEDI 1.13 Forelgn curroncl•* Mon81ary aMs0ts and liabiliti08 denominated In forelgn curroncl•8 8r8 tran$￿ted Into storllng at rat96 of oxch8nge ruling at tho balance sh￿t d8ts. Tr•nsActionB In forelgn ￿Jr￿ncle8 are tran81ated into 8térllng 81 the rate ruling on the data of the transaction. ExchaNJ& g8ln$ ond108898 are rooognls•d In th8 Statsmanl of Comprehens1￿ Incom8 ANALYSIS OF TUITION FEES AND EDUCATION CONTRACTS A• r••tst•d 2020 2021 Cour8a fee8 #nd rglatod Income D68counls allowed Olh8r fee8 Olhor In¢c*no 824,654 (1,731) 1,080 113,296 1,218,848 {3,0321 1,050 51,861 937.299 1,288,727 INVESTMENT INCOME 2021 2020 8onk Intèr88t racelvable 277 1,878 277 1,878 STAFF COSTS 2021 2020 Wages and sal8rtes Soci818ecurlty costs Contribullon to defined ¢>)ntributitin p8nsion schemes 603,083 72,219 20,753 703,183 69.794 18,824 696,055 791.801 Page15 EUROPEAN COLLEGE OF BUSINESS AND hlANAGEMENT (A Company Llmltod by Guarantwl NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 STAFF COSTS ICONTINVED) Tha avar8g8 numb•r of person8 omplwBd by the Charlly durlng the year w88 08 follows: 2020 No. Numbw of LeGturer8 Number admln18tralfve 8taff 10 11 17 18 Th8 number of emplo￿8￿ who80 omployae bengfit8 lexcludlThJ empkI￿r p8n8Ion costs) oxc•gded £60,fsJO W￿.. 2021 No. 2020 No. In the band £g0,(M)1- £100,000 None of tho TN8to98 rocelved any rnmunerallon, b8nafits In klnd Of relmburB8ment of expon￿• durfng tho s•ar12020- £nill. Total romunoratlon pald to kay m8nagom8nt p8r8onn81 w88 £113,770 (2020- £113,791). Page 16 EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT (A Company Llrnlt￿ by Guarante•) NOTES TO THE FINANCIAL STATEMEK FOR THE YEAR ENDED 31 AUGUST 2021 OTHER OPERATING EXPENSES 2021 2020 Advertising Computer c08ts Aecomoda￿On Extemal rgnt, r8to8 and water Cleanlng Repairs and m•lntonance InBuranc• General expen688 Trav81 Audbtors remunoratSon Con8ultancy Telephme Exam f008 artd 888odated c08t8 Prlnung, p08tsge and 8tatlonery Llght and heal B8d dgbts Staff tralnlng L•gal and prOfe￿10n81 fee8 Accountancy 22,183 12,470 1,465 31,719 18,956 14,889 17.324 3,724 13,545 9.0 109,080 7,851 28,138 12,600 2.717 101.574 16,152 129,259 49.921 24,597 20,297 17,533 6,136 72.785 7.501 193,829 10.530 83.436 14,270 5.412 5,250 4,789 1.731 ij 10.559 10.117 13,568 10,270 328.136 787.109 INTEREST AND OTHER FINANCE COSTS 2021 2020 Bank charge8 Foreign wrrenGy I￿$ 4,924 1,238 6,816 16,887 6.162 23,683 P899 17 EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT (A Company Llmlted by Gu•rnntso) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENOEO 31 AUGUST 2021 NET INCOMING RESOURCESI{RESOURCES EXPENDED) 2021 2020 Deprgciation of tangib￿ Ilxed a888t8:_ owned by th& ¢h•rity Audltors. femun8rallon - Audil Audllorn, romuner8tion- Olher staff pansion contribullonl Exchang61088 43,405 8,700 43.765 7.500 20,753 1.238 18,824 16.887 TANGIBLE FIXED ASSETS Fr••hold Prop•rty pro￿rty Equlpm•nt Improv•m•nt• Tol•l Co•t or v•lu•tlon At 1 September 2020 Addllion8 DlsposalB 1.302,872 126,468 4.483 (5,4881 401,485 21.826 1,830.823 26,309 (5,4881 At 31 Augubl 2021 1,302,872 125.461 423.311 1,851,844 D•pr•clallon Al 1 Septembgr 2020 Charg8 for the year On d￿pOS)1￿ 402.664 20,055 113,800 3,275 (4.742) 223,349 20,075 739,813 43,405 (4,7421 At 31 AugU*t 2021 422,719 112,333 243,424 778,478 N•t book v•lu• At 31 Augus12021 880.153 13,128 179,887 1,073,188 At 31 Augusl 2020 A).208 12,666 178,136 1,091,010 Freehdd propety Indudes land vlth a ￿¥t of £300.00012020 - £300.0001 on whlch depreclation ig not provldwj. Page 18 EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT IA Company Llmltod by Gu*rnntee} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 TRADE AND OTHER RECENA8LE8 2021 2020 Trada recalvabl Other dgblors Prepayments and accnJ8d Incnmo 263.311 360,828 10,474 39.254 37,058 300,369 410,556 10. CREDITORS: kniount• f•lllng du• wlthln ono y••r A• mt*t•d 2020 2021 Trad8 credltor8 Othèr tsxs￿on and Bocl81 $oCU Other credltorn Accrual8 and dthed incomo 7.903 20.579 20,184 S94,706 14,011 19,890 834,005 643,352 867.906 A• rnBt•t•d 2020 2021 Doferrod Incom• at I S8ptomb8r 2020 Re8ource8 deforrgd durkng the year Amounts rel888od from proviou8 perlod8 771.751 845,774 577,092 771.751 (771,751 > {845.7741 577,092 771.751 06farr8¢J in¢ome rolato8 to tuttlon fo0 Income recow In advanco for courn88 du• to Commen￿ after 31 August 2021. 11. CREOITORS: Amount• falllng du• •ft•r mor• th•n on• y••r 2021 2020 AccruaL8 and delerred Income 3,180 Page 19 EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT (A Company Llmlt•d by Gu•rnntso1 NOTES TO THE FINANCIAL 8TATEMEpif8 FOR THE YEAR ENDED 31 AUGUST 2021 12. PENSION COMMITMENTS The Charlty op8r8t88 a dofinod ¢ontrfbution pen81on 8chem8 In m8P8Ct of Its employ￿8. The 888els of tho schem8 are hokl 58parately from th088 of tha Charity in a ¥eparatety 8dmlnlstered fund. The pen81on costs per tho Ststemènt of comprehen81￿ Income r8pr88onl contribution8 due from th8 company 8nd amounlad to £20,753 (2020 - £18.8241. 13. PRIOR YEAR ADJU8TMENT A prior year adlu81m8nl has b8gn mode for income that Should have bèèn d6ferred 88 at 31 Augu812020 In ra8p8cI of • courno whlch commenced in Autumn 2019 arKI 8ndeil in Spring 2021. Thls h88 r88ulied In a doGre0￿ In prior year luY(ion fee Incom8, an Incroase In th9 prlor ￿&T def￿1t. 8n Incre888 In deferred Inc￿8 and a dacraase In closlng f￿ar¥83 88 #t 31 Augu812020 by £35,867. 14. OPERATING LEASE COMMITMENTS At 31 Augu¥l 2021 the Charfty had commltments to rnako fubJr• mlnimum 18a88 payments under non- an¢8118ble operaUng188888 88 folbw8.' 2021 2020 Not later than 1 ￿ar Latsr than 1 >•ar and not Lqter than 5 year8 2,762 4,535 2.819 7,297 7,297 10,116 Th• tot81 lea89 P8ymenls recognl88d a8 8n •xpnse vmre £2,81912020- £2,819). Page 20 EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT (A Comp•ny Llmlt•d ty Guarant••) NOTES TO ThE FINANCIAL STATEMENTS FOR ThE YEAR ENDED 31 AUGUST 2021 15. STATEMENT OF RESERVVJ STATEMENT OF RESERVES- CURRENT YEAR As rn8t•t•d Bal•n￿ At 1 8•pt•mb•r 2020 Bal•nc• •t 31 Augu•t 2021 Incom• Exp•ndltur• Unr••trl¢tsd RM•rv•• Genoral Ro8ar¥a6 1.813,570 937,576 {1,074.505) 1.676,641 STATEMENT OF RESERVE8- PRIOR YEAR BJl•nn •t AJ r••l•t•d B•l•nc• at 31 Augu•t 2020 3•pt•mb•r A• Mtat•d 2019 Incomo Exp•ndltur• UnMtrl¢t•d R•Mrv•• Ggnoral Ro8gf4a8 2,169,323 1,270,605 (1,626,358) 1.813,570 18. ANALYSI8 OF NEf ASSETS BETWEEN FUN08 ANALY818 OF NET ASSETS BETWEEN FUNDS . CURRENT YEAR 2021 Tangible fixed 8850ts Current a¥sots Creditors due wbthln ono year Creditors due in morg than ong 1.073,188 1.246.825 1643,3521 1.676,641 Page 21 EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT (A Company Llmlt•d by Gu•rnnt001 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 17. ANALYSIS OF NET A8SEfs BETWEEN FUNDS - PRIOR YEAR 2020 T•rvJible fixed 88s0ts Current 888ats Creditors dug wllhtn one yoar Croditor8 dua in more than ona y8ar 1.091.010 1.593.846 1867,9061 13.1801 1,813.570 RECONCILIATION OF NEf MOVEMENT IN FUN08 TO NET CA8H FLOW FROM OPERATING 18. ACTIVITIE8 r••tatod 2020 2021 Net eX￿ndItur8 for the year p8r Statement of Flnanclal kUvlti881 (136,929) {355,753} lJu•tm•nt• for: Depfodallon charg Bank inlgfg81 recefvable L088 on the 8818 offixed a8•0ts Dacr8a¥o in debtor8 DocTga8e in credllorn 43,405 1277) 747 110,188 1227,734) 43,765 (1,878) 164,487 174,7411 N•t ca•h umd In op•rnllng Ktlvltl•• 1210,602) 1224.1401 19. ￿lALYSIs OF CASH AND CA8H EQUIVALENTS 2021 2020 C88h and cash 8quivalents 946.456 1,183,090 Total Cash •nd ca•h •qulval•nts 946,458 1,183.090 Page 22 EUROPEAN COLLEGE OF BUSINESS AND MANAGEMENT IA Cornp•ny Llmltod by Gu•rnnt••) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 ANALYSIS OF CHANGES IN NET DEBT S•pt•mb•r At31 2020 CJ•h ffi0￿ AugU•t 2021 Ca8h at bank and In hand 1.183.090 {236.634) 946,456 1.183,090 (238.634) 948,456 21. RELATED PARTY TRAN8ACTION8 A• al 31 Augu812021, an amount ￿ £20.164 (2020 £10,474) w88 due 10 (2020 - due Iroml ECB Company Limilgd By Gu8r8nle8, a o)mp8ny which has common dlrnctOfB. The amount18 Inter88t fro0, unBeoJred and rap8yabl• on domand. Ther8 woro no othor rolated party tran88clbn8 notad durlng tha year. OMISSION OF 8TATEMENT OF CHANGE8 IN RESERVE8 Glven th* the only movemont whlch VI￿UkI bg shown on the 8tstsmont of Change8 In Re88P488 58 tr0 total compr8hen8Ive {DeficitySurplus Jhown In the Stal8monl of Comproh8n81v8 In¢omo, th18 pdmary flnanclal 8tst•m•nt has been omlttad. Pago 23