Company Number: 07066687 Charlty Number: 1144894 Instructus, {A company limited by guarantee) Consolidated Financial Statements For the year ended 31 July 2024
INSTRUCTUS COMPANY LIMITED BYGUARANTEE CONTENTS Officers and professional advisors Trustees, Annual Report (incorporating the direttors, report) 2-13 Independent Auditorfs Report tothe members of Instructus 14-17 Consolidated Statement of Financial Activities {Including income and expenditure account) 18 Consolidated Statement of Financial Position 19 CompanyStatement of Financial Position 20 Consolidated Statement of Cash Flows 21 Notes to the Financial Statements 22-37
INSTRUCTUS COMPANY LIMITED BYGUARANTEE OFFICERS AND PROFESSIONAL ADVISORS Registered charity name InstructUS Charity Registration No. 1144894 Company Registration No.. 07066687 Trustees: Mr N P Hopkins {Chalr) Ms A S Cooper Ms J A Norrington MsEJRush Mr R Traish Ms R Allen Ms S Frost Company Secretary: MrA Hammond Registered Office: Suite 103a Harborough Enterprise Centre Compass Point Business Park Northampton Road Market Harborough Leicestershire LE16 9HW Auditor: TC Group 31 High View Close Hamilton Office Park Leicester LE4 9UH Bankers: Unity Trust Bank PIC Nine Brindley Place Birmingham B12HB Solicitors: Freeth Cartwright LLP Cumberland Court 80 Mount Street Nottlngham NG16HH
INSTRucrus COMPANY LIMITED BY GUARANTEE TRUSTEES, ANNUAL REPORT (Incorporating the Directors. Report and Strateglc Report) FOR THE YEAR ENDED 31 JULY 2024 The trustees, who are also the dirertors for the purposes of company law, present their report and the financial statements of the charity for the period ended 31 July 2024. Reference and administrative details Reference and administrative details are shown intheschedule ofofficers and professional advisers on page l of the financial statements. The Trustees The trustees who Served the charity during the period were as follows: Mr N P Hopklns Ichairl M5J A Norrington Ms E J Rush Mr R-Traish Ms R Allen Ms A Cooper Ms D'Rapkins lappointed 15.03.24} {resigned 13.11.241 M5 S Frost (appointed 28,06.241 M5 J Seyrnour (resigned 08,09.23) Structure• governance, and management Constitution Instructus is a registered charity (Charity No: 1144894) and a company limited by guarantee {Company No: 070666871, which is incorporated in England and Wales. Governin8 document The company was established under a memorandum of a550Ciation which established the objects and powers of the charitable company and is governed under its articles of association. Trustee appointment and management Trustees are appointed by the board of trustees. The charSty has robust recruitment, induction, appraisal, and training processes in place for all trustees. Trustees receive frequent reports on operatlons, human resources, risks, and finance. Financial governance 15 a top priority for trustees: the CEO holds regularfinance meetings and holds regular audlt meetings with the executive team, where at least one trustee is present, and where performance is reviewed, targets are agreed, and financial governance is scrutinised to minimi5e risks and maximise income potential. Trustees meet every three months for board meetings and once a yearto agree the strategic direction of the charity over the ensuing three-year period. The Risk & Audit Comrnfftee meets formally four tlmes per yeari plus additional meetings to revlew budgets as required. Trustees act as Chair of the Risk & Audit Committee.
INSTRUCTUS COMPANY LIMITED BY GUARANTEE TRUSTEES, ANNUAL REPORT (Incorporating the Dlrectors, Report and Strategic Report) FOR THE YEAR ENDED 31 JULY 2024 The trustees delegate operational powers to the Chief Executive Officer, who is responsible for implementing the strategies and operatingthe charity. Arrangements for setting the remuneration of the charity's key management personnel lie with the Chief Executive {for his direct reports} and with the Chairman of the board for the Chief Executive. The performance and development review documents are used to assess the performance ofthe key personnel and the financial performance of the charity, and its subsidiaries are used as benchmarks to agree any pay amendments. Our trustees have concentrated on the strategic plan to ensure the organisation returns to a surplus position following losses incurred during and post pandemic. The Trustees understand the key challenges facing In5tructUs and as well as their detailed induction training, re1ve regular updates on the perforrnance of the charity. Introduction Instructus is a charity whose objerts are "to advance educationfor the public benefit by promoting qualificotions training andskills". Instructus is the sole owner of CQM Training & Consultancy Ltd. The Springboard Consultancy is a brand within Instructus. Instructus is the UK'S pan-sector standard setting body for business skills at work across the UK. It is responsible for setting Standards, developing vocational business qualifications and apprenticeship frameworks, registerin& and issuinE pan-sector apprenticeship frameworks. As part of our commitment to maintaining the UK Skills system, we are a strategic partner with Skills Development Scotland who operate the nation5 Standards and Framework agreement. Instructus continue to certify apprentIshipS in the devolved nations, alongside legacy frameworks in England. We consistently achieve quality metrics agreed with the Federation for Industry Sector Skills & Standards IFISSS). The Springboard Consultancy is an international training and personal development consultancy that contributes to achieving greater equality in the world by helping attendees be the best they can be and realising their full potential both in their personal lives and at work. Springboard sits as a brand within Instructus. Springboard programmes make a significant difference to people's lives and are delivered by employees and a network of liCend freelance and in house trainers. As of July 2024, we had a global network of 135 licenced trainers deliverlng programmes both In the UK and Internationally with 2,812 individuals benefiting from development over the year.
INSTRucrus COMPANY LIMITED BY GUARANTEE TRUSTEES, ANNUAL REPORT (Incorporatlng the Directors. Report and Strateglc Report) FOR THE YEAR ENDED 31 JULY 2024 CQM Training and Consultancy Ltd delivers tralnlng prinopally across the UK wlth some internatlonal provision. CQM offer development programmes in the areas of leadership and management, continuous improvement, and vocational skills. As a lead provider on the Register of Apprentlceship Training Provlders {ROATP), CQM dellver a range of apprenticeships in many different market see(ors. All activity conducted by Instructus, The Springboard Consultancy and CQM Training & Consultancy Ltd has a direct and positive public benefit. Our work in qualifications, training and skills always focuses on individual learners at the heart of our offering. The more people we can develop, the more lives will be transformed. Performance The in-year performance was in line with expectations, prlmarlly due to the following reasons: Delivery of strategic plan to return to organizational surplus: Overperformance of Skills Development activity. Continued stringent cost management. There are many positive5 to note: Both organisations delivering surplus. SBC revenues are In line wlth orlginal budget. Development work on the Springboard portfolios continued. Cash performed In line wlth forecasts. Learner tracking processes improved. Office relocation to Market Harborou8h savlng £20k per annum Ireallzed In 2024/25 budget). There were inevitably some challenges is the year: CQM achieving a 'requires improvemeny inspection from Ofsted. Lower Commercial programme sales than anticipated. Revenue in m05t channels remain static- addressing this is the core strategic focus for 2024/25. Financlal Group cash position at year end was £244K. This was above the reserve level agreed by the board. CQM returned a profit of £15,595. Instructus returned a surplu5 of £26,636.
INSTRucrus COMPANY LIMITED BYGUARANTEE TRUSTEES. ANNUAL REPORT {Incorporating the Directors. Report and Strategic Report) FOR THE YEAR ENDED 31 JULY 2024 Average Monthly Revenue 2021122 2022123 2023124 2024/25 Budget £42.5K £97K £26.5K £22K £7K Springboard CQM ApprentiShipS CQM Commercial Certification Skills Development £35K £IIOK £20K £37K £9.5K £38K £103K £21.5K £24.5K £5K £38.2K £105K £17K £22K £9.8K We have taken a cautious approach to budgets for 2024125 with growth focused on Springboard and CQM Commercial programmes. We have increased our marketing effort against both these channels and our improved forward pipeline supports the achievability of the budget in these areas. Our budgets for 2024/25 have been agreed by the board. Achievement of budgets will result in an overall surplus of circa £55K with a stretch target of £IOOK. After reviewing budgets, forecasts and cash flow, the board of CQM are satisfied that the organisation remains a going concern overthe next 12 months. After reviewing budgets, forecasts and cash flow, the board of Instructus are satisfied thatthe organisation remains a golng concern over the next 12 months. Custorner In 2023/24 CQM achieved £208K of commercial work, with £75K of this from new clients and £133K from existing clients. Inthe comingyear we are focusing our sales and marketing effort on core apprenticeships and commercial work, particularly that of a higher value. Our commerclal day rate has been reviewed and increased proportionately accordingto level of deliveryand capabilty. We have undertaken a profitability analysis of all products, allowing us to streamline our programme delivery and product offering. We have tightened our processes of tracking earners to ensure there are no extraordinary adjustments for fijnded learners due to withdrawals or breaks in learning. We were disappointed to re1ve a 'requires improvemeny judgment from Ofsted and a revised and reinvigorated Quality Improvement Plan has been deployed to ensure we correct this position at reinspection. In Springboard work has continued recoveTing royalty payments, bringing licencing agreements in line, creating an Open Cohort schedule, improvinE the trainer licencing pro$$, and increasing sales value of programmes. Account Management has become more consistent with better relationships being created across the piece. In 2024125 we are planningto update the core products alongside an increased marketing focus. Key commercial wins for CQM this year have included Phinia LSSGB phases l and 2, Britvic L5SGB phase 2. AB World Foods LSSBB and CMA Lean Awareness & White Belt delivery.
INSTRUCTUS COMPANY LIMITED BYGUARANTEE TRUSTEES, ANNUAL REPORT (Incorporatlng the Directorf Report and Strateglc Report) FOR THE YEAR ENDED 31 JULY 2024 For Springboard, National Grid continue to be a valued customer havlng multiple cohorts of Springboard, Spring Forward and Navigator. Other significant new business includes UKAEA and WPP, with multiple cohorts delivered both in the UK and internationally. We met all rtIfiCation quality scores throughout the year. Employer feedback as measured by the E5FA was 4.0 (Green) Apprenti feedback as measured by the ESFA was 3.6 (Green) People We saw a significant decaSe in staff sickness rates from l.y% to 0.4% in the year. We regularly measure staff satisfaction through a 'pulse' sueY every Six months, which identifies key areas for us to v4ork on.. Wé measure employee engagement through our net promoter Score whi£h is currently 4. The range of score5 IS-IIJ) to 100, with anything between 0-30 being considered Good and anything over 30 being Excellent. We continue to focus on employee trainlng and development, accessing training courses, ongolng CPD, apprenticeships andcoaching, regularly revlewed through line managerdevelopmenttouchpoints alongside an appraisal process. We have a sulte of mandatory training courses coverlng all statutory requirements, Includlngsafeguardln& health and safety, GDPR and anti-bribery. complian with this training is monitored and reviewed on a regular basis. The CEO leads quarterly Health and Safety meetings which are reported to the Risk & Audit Committee and board as appropriate. Impact 2.812 people have been developed throu8h Springboard Programmes (in-house & freelance} overtheyear. We have licensed 13 new people to deliver Springboard Programmes, bringing our total number of active trainers to 135. We have successfully certified 7,041 people across the UK. 401 were against English legacy frameworks, 3,112 in Wales, and 3,528 in Scotland. We have continued to focus on Improvement Standards programmes which helps build the skills levels cross organisations, with some significant business Improvements being achieved. Indeed, we have seen apprentices on our improvement standards apprenticeship programmes deliver over £3m in savings for theirorganisationseven duringa toughtimefor many, plusof coursegaininga skillsetto be ableto continue to deliverthat year on year. We have successfully led 112 CQM learners through EPA. We currently have 345 learners on apprenticeship programmes with CQM, wlth an addltional 25 currently on breaks in learning. Approximately 290 have completed commercial training programmes. We have continued to support a wide variety of employers, training providers, awarding organisations and professional bodies with the development of learners and skills forthe future.
INSTRucrus COMPANY LIMITED BY GUARANTEE TRUSTEES. ANNUAL REPORT Ilncorporating the Directors. Report and Strategic Report) FOR THE YEAR ENDED 31 JULY 2024 Skills Projerts At the start of 2023 Instructus secured the preferred supplierstatus for Skills Development Scotland (SDSI for a further four years. Having secured this preferred supplier status, Instructus has continued to secure projects via competitive bidding. During 2023124 funding was secured to deliver the following projects, which were delivered on time and on budget. UK Wide N05 Review for5ales UK Wide NOS Review for Risk Management Research Review for Scottish Technical Expert Group (TEG) for Business and Digital Admin Welsh Apprentittshipfrdmework review for Management Welsh Apprenticeship framework review for Business Admin Welsh Apprenticeship framework review for Customerservice Welsh Apprenticeship framework review for Marketing Welsh Apprentitrship framework review for Sales & Telesales Welsh ApprentiShip framework review for Contact Centre Welsh ApPrentiship framework review for Translation & Interpreting UK Wide analysis into SOC for NOS Welsh NOS translations Charity and Social Impact The Charitable object of Instructus is "to advance educotion for the public benefit by promoting qualifications training and skills-. As an organisation all our activity is focused on delivering this charitable objett. We have a simple theory thatdeveloping peopletransforrns lives. We believethatthatouractivities cultivatea positiveeconomicand social impact for those we senie. This can be as simple as official rtifICation of the hard work that has gone into an Apprenticeship, throughtothe deliveryofanApprenticeship, buildingthe skillstoforgecareers and deliver comrnercial returns for the UK economy. This can be the delivery of Personal Development programmes that help promote inclusion and close gender pay gaps, through to life changing decisions from our participants that benefit businesses, communities, and individuals alike.
INSTRUCTUS COMPANY LIMITED BY GuARArEE TRUSTEES. ANNUAL REPORT (Incorporating the Directors. Report and Strategic Report) FOR THE YEAR ENDED 31 JULY 2024 Ourwork can be broken down into 3 key areas Qualifications Training Skllls Certrfication of English Apprenticeship Frameworks Apprenticeships across a wide range of Standards National Occupational Standards Review Projects Certrfication of Apprenticeships in Scotland, Wales & Northern Ireland Lean Six Sigma Programmes Qualification structure reviews Certification of Yellow, Green, Black and Master Black Belt practitioners Management Programmes Apprenticeshipframework review, across the devolved nations Springboard Personal Development Programmes Licensing Programmes to grow Springboard trainer base These activities have driven significant public benefit and social value in a wide variety of areas, including. New apprentices delivering the skills required by UK PLC Individual growth which in turn impacts societal growth. Improved business ROI as new skills are deployed to bring commercial benefrt. Improved productivity Improved equality Simplification and development of the ski115 Systems across the devolved nations In addition to OUT core activityi in 24/25 we are planning on expanding access to our core produtts and services for the less advantaged. Initially this will be offering Springboard lInCIng to Third Sector organisations and repeating with Cl programmes if the pilot is Sucssful.
INSTRucrus COMPANY LIMITED BY GUARANTEE TRUSTEES, ANNUAL REPORT (Incorporating the Directors, Report and Strategic Report) FOR THE YEAR ENDED 31 JULY 2024 The following links give specific case studies give a flavour of the impact we are making. htt mltd.co,uk celebratin -sussess- ohnson-matthe rinces5-ro al-trainin -awards-2024 htt zenoot.com articles case-5tud -Im-and-countin delivered-hard-benefits-for-a-soft-drinks- iant -how-c ms-lean-six-si ma-trainin -course- htt s rin boardconsultan .com 024 08 celebratin success south wales lice htt rin boardconsultan .com develo ment- ro ramme-castrstud 023 12 li avon-and-somerset-contabula -navi ator-mens- htt rin oardconsultanc .com 2023 technical-lead-at-natioal- rid-shares-her-s li rin 27 environmental-cham ion-lisa-baines-environmental- -fonvardox rience htt in oardconsultan .com 2023 08 national- rid-case-stub Quality Assurance Instructus has contlnued Its role as both an Issuing Authorlty and Certification Body for apprenticeships in the UK, meeting all statutory and regulatory obligations. Instructus prides itself of continuous improvement of internal and external prOsSes. Our certification team continue to slgnificantly overachieve the targets set in our Service Level Agreements with the Federation. We have various accreditations, including: Cyber Essentia15 IA5ME Governance Matrix Accreditation Living Wage Employer Quality remains a key focus for CQM, with a review of the Quality Improvement Plan belng a standing agenda item on all board meetings. There has been a significant focus on making improvements following the Ofsted inspection, We have engaged the services of the Fellowship of Inspection Nominees, (FIN) to advise and evaluate our progress in the lead up to re-inspertion. This external evaluatlon confirms that we are making good progress in all focus areas. In addition, we have asked an Instructus trustee to attend the CQM board rneeting to add additional assurance on progress. ESFA have reviewed our Quallty Improvement Plan andsupportthe actions being taken. We have updated Springboard evaluations and intrOdUd pulse surveys at pertinent points throughout the programme delivery alongside attending numerous programmes to ensure we monitor quality of delivery. We are updating trainer materials to ensure consistency of approach and are moving resources to an online facility to ensure they can be kept updated based on feedback and emerging perspectives.
INSTRucrus COMPANY LIMITED BYGUARANTEE TRUSTEES, ANNUAL REPORT (Incorporating the Directors, Report and Strategic Report) FOR THE YEAR ENDED 31 JULY 2024 Risks There are 4 key risk5: Apprenticeships We are awaiting details on what the newgovemment proposes in the skills/apprenticeship arena. The new body'skills England, is being formed and the ESFA is being merged into the Departmentfor Education. The labour manifesto suggested they would introduce more flexibility to the apprenticeship levy to support more modular programmes, but details are yet to be released, and no additional funding has been made available. Sadly, the apprenticeshipfunding bands remain unchanged since 2017, with all inflation*ycosts being met by providers. In addition, the regulatory compliance for delivery of apprenticeships continues to grow, despite no additional funding. Pressure to achieve apprenticeship completions remains. We are above the median position acros5 providers and are striving to continue our upward trend to achleve more than 60% for 2024/25. We closely monitor developments and are focusing on our strategy of increasing our commercial programme5 alongside delivering high quality and effective apprenticeships. Refreshing Springboard Products The current materials were last updated in 2019 and are in need a of a refresh or even full re-write. In 2024125 we are focusing on Springboard Women's Programme followed by the Navigator programme. Funding growth Cash has performed in line with expectatron and the organisation has returned to surplus. Despite this there is little additional cash to fund growth. We have increased marketing budgets and are focusing on updating programmes. Our intention is to ensure a sustainable long-tem) surplus which in turn will release funds to invest in more inorganic growth. Quality Delivery of our Quality Improvement Plan is e55ential. Failure to deliver could compromise our ability to deliver apprenticeshlps In the long term, whlch would si8nificantly restrict the impact we have as an organisation. Progress is being monitored at both executive and board levels. 10
INSTRUCTUS COMPANY LIMITED BY GUARANTEE TRUSTEES, ANNUAL REPORT (Incorporatlng the Dlrectors, Report and Strategic Report) FOR THE YEAR ENDED 31 JULY 2024 Reserves The board have agreed a reserve level of £200K, rlslng to £250Katthe end of 2025. Thesefigures have been agreed following a scenario analysis of liabilities in the unlikely event that the organisation cease trading. Cash levels have been above the agreed reserves throughout the year and this position is forecast to continue overthe next 12 months. AII CBILS loan commitments have been met to date, and repayments are factored into forward budgets. Future Strategic Plans The board have reviewed our strategy over the year. Our core purpose continues as being 'Developing People, Transforming lives,. In addition to delivering this remit in all our activity, we are aiming to show that sustainable growth can be achieved. We also aim to access funding to increase access to our programmes for the less advantaged. The board have agreed 3 strategic pillars to underpin our strategy and performance is measured against these areas. These pillars are Inclusive Culture, Outstanding Quality, and Smart Growth. Key strategic priorities for the year ahead: Promoting ourcore values of Authenticity; Inclusivity: Integrity. Focusing on quality. Continuing delivery of high-quality certification of apprenticeships. Increaslng proportion of commeroal programmes, particularly Continuous Improvement and Sprlngboard. Delivering key skills development projerts, working closely wlth the devolved nations. Updating core programmes. Growing Sprlngboard prograrnme reach. Delivering high quality targeted apprenticeships and improving completion rates above 65%. Developing our staff, whilst maintaining a positive net promoter score. Maintaining a surplus, with year-on-yeargrowth. Investigating funding sources to support delivery of core prograrnmes to advantaged. The board would like to thank the team for delivering a platform for growth and celebrate the difference we are making to Individuals from our numerous and diverse inteNentions.
INSTRucrus COMPANY UMITED BY GUARANTEE TRUSTEES, ANNUAL REPORT (Incorporatlng the Directors, Report and Strateglc Report) FOR THE YEAR ENDED 31 JULY 2024 Trustees, Responsibilltles The Trustees, who are also Directors of Instructus for the purposes of company law, are responsible for preparing the Report of the Trustees and the incorporated Strategic Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards Iunited Kingdom Generally Accepted Accounting Practice). Company law requires the Trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, Including the income and expenditure, of the charltable company forthat perlod. In preparing these financial statements, the Trustees are required to: select suitable accounting policies and then apply them consistently; observethe methods and principles in the Charities SORP: make judgments and estimates that ale reasonable and prudent; state whether applicable UK Accounting Standards have been followed, 5ubjett to any material departures disclosed and explained in the financial statements. and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charltable company wlll continue in business. The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Art 2006. They are also responsible for safeguardlng the assets of the charitablecompany and hencefortaking reasonablestepsforthe prevention and detection offraud and other irregularities. The Trustees are responsible for the maintenance and Integrity of the corporate and financial information included on the Instructus website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. In so far as the Trustees are aware: there is no relevant audit information of which the charitable company's auditor is unaware; and the Trustee5 have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information.
INSTRUCTUS COMPANY LIMITED BY GUARANTEE TRUSTEES. ANNUAL REPORT (Incorporating the Directors. Report and Strateglc Report) FOR THE YEAR ENDED 31 JULY 2024 Auditor Each of the person who is a trustee at the date of approval of this report confirms that: sofaras they are aware, there is no relevant audit information of which the charity's auditor is unaware; and they have taken all steps that they ought to have taken as a trustee to make themselves aware of any relevant audit information and to establish that the charity's auditor is aware of that information. The trustees, annual reportwas approved and signed on behalf of the board of trustees by: Mr N P Hopkins Trustee Date: 2410112025 13
INSTRUCTUS COMPANY LIMITED BY GUARANTEEE INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF INSTRUCTUS (continued) FOR THE YEAR ENDED 31 JULY 2024 Oplnlon We have audited the financial statements of Instructus ('the parent charity'l and its subsidiarles ('the group,) for the period ended 31 July 2024 which comprise the Consolidated Statement of Financial Activities, the Consolidated and Charity Statements of Financial Positlon, the Consolldated Statement of Cash Flow5 and note5 to the financial statements, including a summary of si8nificant accounting policies. The financial reporting framework that has been applied in their preparation 15 applicable law and United Kingdom Accounting Standards, includlng FRS 102 "The Financial Reporting Standard applicable in the UK and Republlc of Ireland" (United Kingdom GenerallyAccepted Accounting Prartlcel. In our opinion, the financial statements: give a true and fairview of the state of thegroup's and the parent charity's affairs as at31July 2024 and of the group's income and expenditure for the period then ended; have been properly prepared in accordan with United Kingdom Generally Accepted Accounting Practice,. and have been prepared in accordance with the requirements of the Companies Act 2006. Basls for Oplnlon We conducted our audlt In accordance with International Standards on Auditlng IUK} IISAS (UK)) and appllcable law. Our responsibilities under those standards are further described In the Auditorfs responsibilities for the audit of the financial statements section of our report. We are independent of the charity 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 responsibllitles in accordance wlth these requirements. We belleve that the audit evidence we have obtalned is sufflcient and appropriate to provide a basis for our opinion. Concluslons relatlng to golng concern In auditing the financial statements, we have concluded that the trustees, use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the workwe have performed, we have not identified any material uncertainties relatingto events or conditlons that, Indlvldually or collectively, may cast slgnificant doubt on the charity's ability to contlnue as ag0ingc0nrn for a perlod of at leasttwelve monthsfrom when thefinancial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sectlons of thls report. 14
INSTRucrus COMPANY LIMITED BY GUARANTEEE INDEPENDENT AUDITOWS REPORT TO THE MEMBERS OF INSTRUCTUS {continued) FOR THE YEAR ENDED 31 JULY 2024 Other information The other information comprises the information included in the Trustees Report, other than the financial statements and our auditorfs report thereon. The Trustees are responsible for the other information. 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 ouraudit of the financial Statements, our responsibility 15 to read the other information and, in dolng $0, consider whether the other Information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appear5 to be materially misstated. If we Identlfy such materlal Inconsistencies or apparent materlal misstatements, we are requlred to determine whether there is a materlal misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Oplnions on other matters prescribed by the Companies Art 2006 In our opinion, based on the work undertaken in the course of the audit: the information given in the Trustees. Report which includes the Strateglc Report and the Directors, Report prepared forthe purposes of company law, forthe financial yearfor which the financlal statements are prepared is consistent with thefinancial statements; and the Strategic Report and the Directors, Report included within the Trustees, Report has been prepared in accordance with applicable legal requirements. Matters on which we are requlred to report by exception In light of the knowledge and understanding of the charity and itsenvironment obtalned inthe course of the audit, we have not identified material misstatements in the Strategic Report or the Directors, Report included within the Trustees, Report. We have nothing to report in respect of the following matters in relatlon to which the Companies Act 2006 requires us to report to you if, in our opinion: adequate and proper accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or the financlal statements are not in agreement with the accounting records and returns; or rtain dlsclosures of trustees, remuneration speclfled by law are not made; or we have not received all the Informatlon and explanations we requirefor our audit. 15
INSTRucrus COMPANY LIMITED BYGUARANTEEE INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF INSTRUCTUS (contlnued) FOR THE YEAR ENDED 31 JULY 2024 Responsibilities of trustees As explained morefully in thetrustees, responslbilities statement set out on page 12, thetrustees Iwhoare alsothe dirertors of the parent charityforthe purposes of company law) are responsibleforthe preparation of the financial statements and for being satisfied that they give a true and falrview, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the group's and the parent charity's abillty to continue as a going concern. dlscloslng, as appllcable, matters related to going concern and usingthe golng concern basis of accountlng unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so. Audltorfs responsSbllltles for the audlt of the flnanclal statements Our objectives are to obtaln reasonable assurance about whether the flnanclal statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditorfs report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAS IUKI will always detect a material misstatement when it exists. Misstatements can arise from fraud or errorand are considered material if, individually or in the aggregate, they could reasonably be expected to influence the econornlc decisions of users taken on the basis of the financial statements. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below. Irregularities, Including fraud, are instances of non-c0rnplian with laws and regulations. We design prOdureS in line with our responsibilities, outlined above, to detect material misstatements In respect of irregularities, including fraud. Based on our understanding of the charity and its activities, we identified that the principal risks of non-complian with laws and regulations related to the Charities Act 2011, the Charities Statement of Recommended Practice, UK tax legislation, pensions legislation, employment regulation and health and safety regulation, anti-bribery, corruption and fraud and money laundering. We understood how the charitable company is complying with those frameworks by making enquiries of management and those responsible for legal and compliance procedures. We corroborated our enqulries through review of board minutes and discussions with those charged with governance. We assess the susceptibility of the charitable company's financial statements to material misstatement, including how fraud might occur, by discussion with management from various parts of the business to understand where they considered there was a susceptibility to fraud. We considered the procedures and controls that the charitable company has established to prevent and detect fraud, and how these are monitored by management, and also any enhanced risk factors such as performance targets. Based on our under5tanding• we designed our audit procedures to identify any non-compliance with laws and regulatlons identified in the paragraphs above. We also performed auditwork overthe risk of management override of controls, includingtesting ofjournal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias. 16
INSTRucrus COMPANY LIMITED BY GUARANTEEE INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF INSTRUCTUS (continued) FOR THE YEAR ENDED 31 JULY 2024 There are inherent limitations in the audit procedures described above and the primary responsibility for the prevention and detection of irregularities including fraud rests with management. As with any audit, there remained a risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal controls. 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.or auditorsres onsibilities. This description forms part of our auditorfs report. Use of the Audit Report This report is made solelyto the charrws 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 companws members those matters we are required to state to them in an auditorfs report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the compan¢s members as a body for our audit work, for this repo'rt,. or for the opinions we have formed. Dilun Mistry FCA (Senior Statutory Auditor) for and on behalf of TC Group 31 High View Close Harnilton Office Park Leicester LE4 9UH Date: oi 2oz 17
INSTRucrus COMPANY LIMITED BY GUARANTEE CONSOLIDATED STATEMENT of FINANCIALACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT} FOR THE YEAR ENDED 31 JULY 2024 Year ended Year ended 16 Month ended Total Funds 2023 Unrestrlrted Funds 2024 Total Funds 2024 Note Income and endowments: Charitable activities Other trading activities Investments Total incoming 832,166 1,464,791 832,166 1,464,791 1,086,142 1,993,277 160 3,079,579 2,296,966 2,296,966 Expendlture on: Raising Funds Charitable Activities Total expenditure 1,362,202 972,507 2,334,710 1,362,202 972,507 2,334,710 2,119,434 1,296,621 3.416.055 Net movement in funds 137.744) (37,744) 1336.476) Reconclllatlon of funds Total funds brought forward 296,833 296,833 633,309 Total funds carrfed forward 259,083 259,083 296,833 The Statement of Fina ncial Activitles includes all gains and losses recognised In the perSod, All fund5 relate to unrestricted funds in both periods. 18
INSTRucrus COMPANY LIMITED BY GuARArEE CONSOLIDATED STATEMENT OF FINANCIAL POSITION FOR THE YEAR ENDED 31 JULY 2024 31 July 2024 31July 2023 Fixed assets Intangible fixed assets Tangible fixed assets 87,975 14,070 102,045 14 14,977 20,977 Current assets Stocks Debtors Cash at bank and in hand 16 17 2,583 334,420 244,802 602,781 2,706 323,984 252,954 579,644 Creditors: amounts falling due wlthln one year 18 {307,157) {316,056} Net Current assets 274,647 263,588 Total assets less current liabilities 295,624 365,633 Creditors: amounts falling due after one year 134,667) (66,667) Provisions Other provisions 19 (1,8741 12,133) Net assets 259,084 296,833 Funds of the charity Unrestricted funds Total charity fund5 259,084 259.084 296,833 296,833 25 Approved bythe Board of Trustees and signed on its behalf by: Mr N P Hopkins Trustee Date: 2410112025 19
INSTRucrus COMPANY LIMITED BYGUARANTEE COMPANY STATEMENT OF FINANCIAL POSITION FOR THE YEAR ENDED 31 JULY 2024 31 July 2024 31 July 2023 Fixed assets Intangible fixed assets Tanglble fixed assets Investments 13 14 15 6,155 650,000 656,155 2,413 650,0 652,413 Current assets Stocks Debtors Cash at bank and in hand 16 2,583 158,013 149,196 309,792 2,706 160,266 132,149 295,121 17 Creditors: amounts falling due within one year 1139,808) {148,031} Net current assets 169,984 147,090 Net assets 826,139 799.503 Fund5 Unrestricted funds 826,139 799,503 Total funds 826,139 799,503 The surplus for the financial period of the parent company was £26.636 (year ended 31 July 2023: deficit £185,752). These financial statements were approved by the board of trustees and authorised for issue on behalf of the board by: Mr N P Hopkins TNstee Date: 2410112025 Company registration number: 07066687 20
INSTRUCTUS COMPANY LIMITED BY GUARANTEE CONSOLIDATED STATEMENTOF CASH FLOWS FOR THE YEAR ENDED 31 JULY 2024 Year Ended 2024 Year Ended 2023 Cash flows from operating activities Deficit for the financial period (37,736) 1336,476) Adjustmentsfor.. Tax charge Depreciation of tangible assets Amortisation of intangible assets Profit on disposal of tangible fixed assets Other interest receivable and similar income Tax reiVed Decrease in stock Interest paid Decrease/(increase} in debtors IDecrease}lincrease in creditors Net cash used in operating activities 7,092 81,975 1138) (9) 17,978 69.558 (958) (1601 123 7,787 {10,436) {8,899) 39,759 1,079 10,837 155,336 158,203) (140,979) Cash flows from investing activities Interest reiVed Purchase of tangible assets Purchase of intangible assets Proceeds on the sale of fixed assets Net cash used in investing activities 160 12,8291 18,0231 162 {7,852) 1,197 11,472) Cash flows from fjnancing artivities Repaymentof bank loans including interest paid 140,059} {53,5031 Net decrease in cash and cash equivalents (8,152) (195,9541 Cash and cash equivalents at beglnnlngof year 252,954 448,908 Cash and cash equlvalents at end of year 244,802 252,954 21
INSTRUCTUS COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (contlnued) FOR THE YEAR ENDED 31 JULY 2024 General inforniation The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is Suite 103a, Harborough Enterprise Centre, Compass Point Business Park, Northampton Road, Market Harborough, Leicestershire, LE16 9HW. The financial statements are prepared in Sterling, which is the functional currency of the charitable company. Accounting policies Basis of preparation The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance wlth the Flnancial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102} - (Charitles SORP {FRS 1021), the Financlal Reporting Standard applicable ID the UK and Republic of Ireland IFRS 102) and the Companles Act 2006. Going concern The board received detailed forecasts as part of the budget setting exercise for 2024/25. These have been reviewed in August 2024, alongside an updated foTerast with no material changes. The board is also assured that performance in Pl & P2 is tracking in line with the forecast position. Budgets have also been stress tested looking at worst case scenarios. Based on the analysis, the board concluded that Instructus remains a going concern well beyond the next 12 months. Consolidation The financial statements consolidate the financial statements of Instructus and all its subsidiary undertakings. The parent company has applied the exemption contsined in section 408 of the CompanlesAtt 2006 and has not presented its individual profit and loss account. 22
INSTRUCTUS COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS {continued) FOR THE YEAR ENDED 31 JULY 2024 Accounting policies (contlnued) Judgements and key Sour of estlmatlon UnrtaInty The preparation of thefinancial statements requires managementto makejudgements, estimates and assurnptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on otherfactors, including expectations of future events that are believed to be reasonable under the Circumstan$. In the opinion of management, the are no key areas of judeement or key sources of estimation Uncertainty that have a significant effect on the financial statements: The following prinapal accounting policie5 have been applied: Taxation The charity is exemptfrom tax on income and gains, falling Within part 11 of the Corporation TaxAct 2010 or section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that these are applied to its charitable objects. No tax charges have arisen. Funds General funds represent those monies which are freely available for application towards achieving any charitable purpose that falls within the charitrfs charitable objects. Designated funds are funds earmarked by the trustees for specific purposes. Restricted funds, which have been given for a specific purpose and can only be used forthat purpose without the consent of the donor. There were no Designated or Restricted funds during the year ended 31 July 2024 or during the period ended 31 July 2023. Incoming resour All incoming resources are included in the Statement of Financial Activities when the Charity has entitlement to the funds, certainty of receipt and the amount can be measured with sufficient reliability. Income from grants are recognised when the charity has entitlement to the funds, any performan conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred. 23
INSTRucrus COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 JULY 2024 Accounting pollcles (contlnued) Resources expended All expenditure is recognised on an accruals basls inclusive of VAT which cannot be fully recovered, and is classified under the headings of the Statement of Financial activities to which it relates: Expenditure on cha ritable activities include: a. Expenditure on the charity's primary charitable purposes as described In the trustees, report. b. Governance costs associatedwiththegovernance of thecharityand its assets. Included within this category are costs associated with the strategic, as opposed to day to dayi management of the charity's activities. Expenditure on other activlties are directly attributable to speciflc activitles. Defined contrlbutlon plans Contribution5 to defined contribution plansare recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment wlll lead to a reduction in future payments or a cash refund. Operntin8 leases Rentals under operating leases are charged to the Ststement of Financial Activities on a straight line basis over the lease term. G(Mxlwill Goodwill arises on business acquisitions and represents the excess of the cost of the acquisition over the compantys Interest in the net amount of the identifiable assets, liabilities and contingent liabilities of the acqulred buslness. Goodwill is measured at a cost less accumulated amortisation and accumulated irnpairment105ses. It is amortised on a straight line basis over its useful life. Intsngible asset5 Intangible assets are initially recorded at cost, and are subsequently stated at cost less any accurnulated amortisation and impairment losses. 24
INSTRUCTUS COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (contlnued) FOR THE YEAR ENDED 31 JULY 2024 Accounting policies (continued) Amortlsatlon Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful life of that asset as follows; Goodwill Course development costs 10 years 3 years If there is an indication that there has been a significant change in amortisation rate, useful life or residual value of an intangible asset, the amortisation is revised prospectively to reflect the new estimates. Tangible assets Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Depreciation Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows: Fixtures, fittings, office and computer equipment 20%- 25%straight line Investments Investments, includlng Investments in subsldiaries, are initially recorded at C05t, and subsequentty stated at cost less any accumulated impairment losses. Impairment of fixed assets A review for indicators of impairment 15 carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value eXed5 the recoverable amount, the asaret is impaired accordingly. Stocks Stocks of study guides and training course materials are measured at the lower of cost and estimated selltng price less costs to complete and sell. Cost includes all costs of purchase, costs of converslon and other costs incurred in bringing the stock to its present location and condltlon. 25
INSTRUCTUS COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (contlnued) FOR THE YEAR ENDED 31 JULY 2024 Accountlng pollcles (Contlnued) Provlslons Provisions are recognlsed when the entity has on obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the Statement of Financial Position and the amount of the provision a5 an expense. Provisions are initially measured as the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required in income or expenditure unless the provision was originally recognised are recognised in income or expenditure unless the provision was originally recognised as part of the cost of an asset. Flnandal Instruments A financlal asset or a financial liability is recognised only when the entlty becomes a party to the contractual provisions of the instrument. The Charity only has financlal assets and financial liabillties of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value. There are no key areas of judgement or key sources of estimation uncertainty that have a significant effect on the financial statements. Limited by guarantee The charity is a private company limited by guarantee and consequently does not have a share capital. Each of the members is liable to contribute an amount not exceeding £10 towards the assets of the charity in the event of liquidation. 26
INSTRUCTUS COMPANY LIMITED BYGUARANTEE NOTES TO THE FINANCIAL STATEMENTS (continuedl FOR THE YEAR ENDED 31 JULY 2024 Charitable activities income Year ended 31July 2024 Unrestricted Funds Year ended 31 July 2024 Total Funds Period ended 31 July 2023 Unrestrlcted Funds Period ended 31 July 2023 Total Funds Grants and contracts Registration, certification and training income Other Income 374,239 477,507 477,507 374,239 457,927 608,635 608,635 457,927 832,166 832,166 1,086,142 1,086,142 Other trading activities income Year ended 31 July 2024 Unrestricted Funds Year ended 31 July 2024 Total Funds Paiod ended 31 lY 2023 Unrestricted Funds Period ended 31July 2023 Total Funds Trainlng and consultancy 1,464,791 1,464,791 1,993,277 1,993,277 Investment income Year ended 31 July 2024 Unrestricted Funds Yearended 31July 2024 Total Funds Period ended 31Aty 2023 Unrestricted Funds 160 160 Period ended 31 lY 2023 Totsl Funds 160 160 Bank interest receivable 27
INSTRucrus COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 JULY 2024 6. Costs of other trading artivities Year ended 31July 2024 Year ended 31July 2024 Period ended 31 Juty 2023 Period ended 31July 2023 Unrestricted Funds Total Funds Unrestricted Funds Total Funds Total costs 1,362,202 1,362,202 1,362,202 1,362.202 2,119,434 2.119.434 2,119,434 2.119,434 Year ended Period ended 31July 2023 31 July 2024 Training and consultancrf materials Staff costs Staff training and recruitment Travel and sustenance Premises costs Legal and professional fees Other expenditure Amortisation of goodwill Depreciation 166,773 235,414 970,072 8.891 45,919 13,811 1,481,455 3.124 94,471 51,577 1.920 177,240 60,220 14,013 149,424 7,313 Expenditure on tharitable activities by fund type Year ended 31July2024 Unrestrirted Funds Year ended 31 July 2024 Total Funds Perlod ended 31July 2023 Unrestrlcted Funds Period ended 31July 2023 Total Funds Instructus- training and skills Support costs 958,581 13,926 972,507 958,581 13,926 972,507 1,270,81XI 25,821 1,296,621 1,270,800 25,821 1,296,621 28
INSTRucrus COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 JULY 2024 Expendtture on charitable artivities by activity type Activities undertaken dirertly Total Year ended 31 July 2024 Total Period ended 31 July 2023 Support costs Instructus Training and skills Governance costs 958,581 958,581 13,926 972,507 1,270,800 25,821 1,296,621 13,926 958,581 13,926 Total Year ended 31July 2024 Total Period ended 31 July 2023 Instructus parent company-Trainin8 and skills artivities cost Contract, project, re8iStratlon, tralnlng and certification costs Staff cost5 Staff expenses, tralnSng and recruitment Premises costs Legal and professional fees Other expenditure Depreciation and amortisation 158,494 601,Crf)9 14,894 46,119 205,131 852,464 25,160 67,997 13 107,687 12,348 56,446 81,618 958,581 1,270,800 Governance costs: Total Year ended 31July 2024 Total Perlod ended 31 July 2023 Auditor fees Costs of tru5tees' meetings 12,450 23,585 21 Net experKliture Net expenditure is stated aftercharging: Year ended Period ended 31July 2024 31July 2023 Amortisation and impairment of intangible assets Depreclatlon of tangible fixed assets Operating lease CL)St 81,975 7,092 1,642 69,588 17,978 47,171 29
INSTRucrus COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 JULY 2024 10. Auditorfs remuneration Year ended 31 July 2024 Period ended 31 July 2023 Auditor's remuneration Auditor's remuneration- non audit ServIS 17,750 7,700 25,450 18,735 6,983 25,718 11. Staff costs The total staff costs and employee benefits for the reporting period are analysed as follows.. Year ended 31July 2024 Perlod ended 31 July 2023 Wages and salaries Social security costs Other post retirement benefit costs 1,330,479 137,463 98,973 1,566,915 1,952,447 217,116 173.191 2,342,754 The average head count of employees duringthe yearended 31July 2024 was 32 Iperlod ended 31 July 2023: 361. The numberof employees whose remuneration forthe period fell within the following bands, were: Year ended 31July 2024 Period ended 31July 2023 £60.000 to £69.999 £80,000 to £89,999 £lI)O,000 to £109,999 £120,000 to £129,999 The key management personnel of the group comprise those of Instructus being the Chief Executive OffIr and Managing Director and the key management personnel of its two wholly owned subsidiaries, CQM Training and Consultancy Limited and The Springboard Consultancy Limited. The total for the group key management personnel was £815,595 (period ended 31 July 2023.. £442,469). 30
INSTRUCTUS COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS {continued) FOR THE YEAR ENDED 31 JULY 2024 12. Trustee remuneration and expenses No trustees reiVed remuneration for their services as trustees during the year ended 31 July 2024 (period ended 31 July 2023: None). Trustees, travel and subsistence expenses of £448 (period ended 31July 2023: £1,541) were reimbursed bythe charityto 3 (period ended 31 Juty 2023: 6) trustees duringtheyearended 31July 2024. The charity has insurance to indemnify the trustees, other offir5 and the charity against the consequences of any neglect or default on the part of the trustees, employees and agents. 13. Intangible assets Group and company Course development costs Asset under construction Software G¢Jodwlll Total Cost At l August 2023 Additions 954,758 4,058 10,000 968,816 At 31July 2024 954,758 4,058 io,ooo 968,816 Amort15atlonllmpalrment At l August 2023 Charge forthe period 874,783 79,975 4,058 880,841 81,975 At 31 July 2024 954,758 4,058 4,000 962,816 Carrying amount At 31 July 2024 6,000 6,000 At 31 July2023 79,975 8,CQO 87,975 The course development costs are company intangible assets. 31
INSTRucrus COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (continued} FOR THE YEAR ENDED 31 JULY 2024 14. Tan8lble assets Group Equipment Total Cost At l August 2023 Additions Disposals At 31 July 2024 222,435 8,023 154,719) 175,739 222,435 8,023 154.719) 175,738 Depreciation At l August 2023 Charge forthe period Ellmlnated on disposals At 31 July 2024 208,365 7,092 (54,6951 160,762 208,365 7,092 154,695) 160,762 Carryingamount At 31 July 2024 14,977 14,977 At31July2023 14,070 14,070 Company At l August 2023 Additions Disposals At 31July 2024 107,295 5,385 107,295 5,385 112,680 112,680 Depreclatlon At l August 2023 Charge for the period Eliminated on disposals At 31 July 2024 104,882 1,642 104,882 1,642 106,524 106,524 Carrying amount At 31 July 2024 6,156 6,156 At 31July 2023 2,413 2,413 32
INSTRUCTUS COMPANY LIMITED BYGUARANTEE NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 JULY 2024 15. Investments The group has no investments Company Shares in group undertakings Cost At l August 2023 and 31July 2024 Impairment At l August 2023 Provision for impairment At 31 July 2024 635,336 Carrying amount At l August 2023 and 31 July 2024 650 CQO Company investments comprise: The company hastwowhollyowned subsidiaries, CQM Trainingand consuanCY Limited (Company No: 027824771 and The Springboard Consultancy Limited (Company No: 04729410). Both companies were registered in England and Wales, with registered offices as Instructus, 100% ordinary share capital owned and both are included within the consolidated accounts. The main activities of the subsidiary CQM Training and Consultancy Limited is training, coaching and consultancy. On 31 March 2021 the activity of The Springboard Consultanq Limited was hived up into Instructus and the company is now dormant. Asummary of their results 15 shown below: CQM Training and Consultancy Limited Year ended 31July 2024 Period ended 31 July 2023 Income Expenditure Net IIoss)/profit 1,464,791 11,449,196} 15,595 1,993,437 (2,074,500) 181,063) Assets Liabilities Net assets 299,315 {216,371) 82,944 351,266 {283,9171 67,349 33
INSTRUCTUS COMPANY LIMITED BYGUARANTEE NOTES TO THE FINANCIAL STATEMENTS {contlnued) FOR THE YEAR ENDED 31 JULY 2024 15. Investments (continued) The Springboard Consultancy Limited Year ended Period ended 31July 2024 31 July 2023 Income Expenditure Net loss Assets Liabilities Net assets 16. 5tod(s Group Period ended 31 July 2023 Company Period ended 31 July 2023 Year ended 31July 2024 Year ended 31July 2024 Raw materials and consumables 2,583 2,706 2,583 2,706 Stock comprises study guides and training course materials. 17. Debtors Group Company Year ended 31 July 2024 Period ended 31 July 2023 Year ended 31July 2024 Period ended 31 July 2023 Trade debtors Amounts owed by group undertakings Prepayments and accrued income Other debtors 104,097 114,676 97,109 84,485 16,439 21,216 36,407 211,374 193,515 15,793 29,827 2,406 23,656 15,718 2,510 334,420 323,984 150,557 160,266 34
INSTRucrus COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS Icontlnued) FOR THE YEAR ENDED 31 JULY 2024 18. Credltors: amounts falling due wlthln one year Group Company Year ended 31July 2024 Period ended 31JuEy 2023 Year ended 31 July 2024 Period ended 31 Juty 2023 Trade credltors 62,468 71,885 34,665 17,658 Accruals and deferred income 117,356 32,000 81,650 13684 135,041 32,000 65,514 11,616 53.375 90,216 Bank loans Social security and othertaxes Other credltors 40,733 3,333 36,857 3,300 307,157 316,056 132,105 148,031 Accruals and deferred income includes £81,488 Iperiod ended 31 J u IV 2023: £93,028) of deferred income in relation to income received in advance for training and consultancy servlces. Credltors: amounts falllng due over one year Group Company Year ended 31July 2024 Perlod ended 31 Year ended July 2023 31July 2024 Period ended 31 July 2023 Bank loans 34,667 34,667 66,667 66,667 The bank loans are secured by a debenture comprising fixed and floating charges over all the assets of CQM Trainingand Consultancy Llmited. The loan attracts interests of £3.99% above the base rate. There is no balance due over 5 years. 19. Provlslons Group Deferred tax At l August 2023 Additions Disposals 2,133 (2591 At 31 July 2024 1,874 The company does not have any other provisions. 35
INSTRucrus COMPANY UMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENT5 (continued) FOR THE YEAR ENDED 31 JULY 2024 20. Deferred tax The deferred tax Included In the Statement of Financial Position is as follows: Group Period ended 31 July 2023 Company Period ended 31 July 2023 Yearended Year ended 31July 2024 31July 2024 Included in provisions 1.874 2,133 1,874 2,133 The deferred tax relates to aClerated capital allowan$. 21. Net debt analysis Group At l August 2023 Net cash flows At 31 July 2024 Cash 252,954 18,512) 32,000 244,802 Borrowings {98,6671 (66,667) 154,287 23,848 178,135 22. Employee beneflts Defined contribution plans The amount recognised in the Statement of Financial Activities as an expense in relation to defined contribution plans was £98,973 Iperiod ended 31July 2023: £173.1911. Creditors include a balance of £10,519 {period ended 31 July 2023: £10,305) due in respect of pension commitments. 36
INSTRucrus COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 JULY 2024 23. Operating leases The total future minimum lease payments under non-cancellable operating lea5e5 are as follows: Group Period ended 31July 2023 Company Period ended 31 July 2023 Year ended Yearended 31July 2024 31July 2024 Not late than l year 40,188 1,621 31,638 21 Laterthan l year and not laterthan 5 years Largerthan 5 years 810 110,552 810 92,667 2,431 150,740 2,431 124,305 24. Related party transartions Chari During the yearthe charity received recharge income of £89,254 (period ended 31 ju 2023: £104,468) from CQM Training and Consultancy Limited. Ye a rend debtors include a balance of £21,216 Iperiod ended 31 July 2023: £36,407) due from CQM Training and Consultancy Limited. 25. Analysis of charitable funds At l August 2023 Income Expenditure At 31 July2024 General funds 296,833 296,833 2,296,957 2,296,957 12,334,710) 12,334,710) 259,084 259,084 37