Business Education Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 00737087 (England and Wales)

BUSINESS EDUCATION LIMITED

UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2018

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

C A B Pringle

G Younghusband

O S Edwards

REGISTERED OFFICE:

2nd Floor Regis House

45 King William Street

London

EC4R RAN

REGISTERED NUMBER:

00737087 (England and Wales)

FIXED ASSETS

Intangible assets

5

153,710

194,795

Tangible assets

6

72,198

84,919

225,908

279,714

CURRENT ASSETS

Debtors

7

4,658,099

4,596,154

Cash at bank and in hand

55,043

66,790

4,713,142

4,662,944

CREDITORS

Amounts falling due within one year

8

4,858,908

4,865,340

NET CURRENT LIABILITIES

(145,766

)

(202,396

)

TOTAL ASSETS LESS CURRENT LIABILITIES

80,142

77,318

PROVISIONS FOR LIABILITIES

11,607

13,627

NET ASSETS

68,535

63,691

CAPITAL AND RESERVES

Called up share capital

100

100

Retained earnings

68,435

63,591

SHAREHOLDERS' FUNDS

68,535

63,691

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2018.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2018 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors on 1 October 2019 and were signed on its behalf by:

C A B Pringle - Director

1.	STATUTORY INFORMATION

Business Education Limited is a private company, limited by shares , registered in England and Wales.

The company's registered number and registered office address can be found on the Company

Information page.

2.	STATEMENT OF COMPLIANCE

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention.

The financial statements are presented in sterling (£) which is also the functional currency for the

company.

Going concern

The directors have received confirmation from the directors of Rulebook Limited, the parent company

of Business Education Limited that it will provide adequate financial support for the foreseeable future.

Consequently these financial statements have been prepared on a going concern basis.

Significant judgements and estimates

The preparation of financial statements requires management to make judgements, estimates and

assumptions about the carrying values of assets and liabilities that are not readily apparent from other

sources. The estimates and underlying assumptions are based on historical experience and other

factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on a continuing basis. Revisions to

accounting estimates are recognised in the period in which the estimate is revised if the revision

affects only that period, or in the period of the revision and future periods if the revision affects both

current and future periods.

The directors consider that there are no significant judgements or estimates in the preparation of these

financial statements.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts,

rebates, value added tax and other sales taxes.

Turnover comprises revenue recognised by the company in respect of the provision of English

language courses and accommodation supplied during the year. Fees are recognised on the

completion of the course. All sales relating to services after the yearend are included in deferred

income.

Intangible assets

Intangible assets are measured at cost less accumulated amortisation and any accumulated

impairment losses.

Amortisation is charged to write off the cost of the intangible assets less their residual values over their

estimated useful lives on a straight line basis. The intangible assets are written off over the following

useful economic lives:

Software development costs - 10 years

If there are indicators of a significant movement in the useful life or residual value of the asset,

amortisation is revised prospectively to reflect this.

Tangible fixed assets

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

Fixtures and fittings - 20% reducing balance

Computer equipment - 33% on cost

Other fixed assets - 20% on cost

Taxation

Current tax is recognised for the amount of income tax payable in respect of the taxable profit for the

current or past reporting periods using tax rates that have been enacted or substantively enacted by

the reporting date.

Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax

losses and other deferred tax assets are recognised only to the extent that it is probable that they will

be recovered against future taxable profits or against the reversal of deferred tax liabilities.

Deferred tax is calculated using tax rates that have been enacted or substantively enacted by the

reporting date that are expected to apply to the reversal of the timing difference.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at

the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of

exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at

the operating result.

Hire purchase and leasing commitments

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the

risks and rewards of ownership of the leased asset to the group/company. All other leases are

classified as operating leases.

Assets held under finance leases and hire purchase contracts are capitalised in the balance sheet and

are depreciated over the shorter of the lease term and the asset's useful lives.

Rentals payable under operating leases are charged in the profit and loss account on a straight line

basis over the lease term. Lease incentives are recognised over the lease term on a straight line basis.

Pension costs and other post-retirement benefits

Short term employee benefits, including holiday entitlement and other non-monetary benefits, and

contributions to defined contribution plans are recognised as an expense in the period in which they

are incurred.

Trade and other debtors

Trade and other debtors are measured at transaction price less any impairment unless the

arrangement constitutes a financing transaction in which case the transaction is measured at the

present value of the future receipts discounted at the prevailing market rate of interest. Loans are

initially measured at fair value and are subsequently measured at amortised cost using the effective

interest method less any impairment.

Trade and other creditors

Trade and other creditors are measured at their transaction price unless the arrangement constitutes a

financing transaction in which case the transaction is measured at present value of future payments

discounted at prevailing market rate of interest. Other financial liabilities are initially measured at fair

value net of their transaction costs. They are subsequently measured at amortised cost using the

effective interest method.

Cash and cash equivalents

Cash and cash equivalents in the balance sheet comprise cash at banks and in hand and short term

deposits with an original maturity date of three months or less.

4.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 63 (2017 - 60 ) .

5.	INTANGIBLE FIXED ASSETS

Other

intangible

assets

£

COST

At 1 January 2018

and 31 December 2018

410,857

AMORTISATION

At 1 January 2018

216,062

Charge for year

41,085

At 31 December 2018

257,147

NET BOOK VALUE

At 31 December 2018

153,710

At 31 December 2017

194,795

The intangible fixed asset relates to development of the Gnosis student and agent booking system.

6.	TANGIBLE FIXED ASSETS

Plant and

machinery

etc

£

COST

At 1 January 2018

1,099,246

Additions

5,075

At 31 December 2018

1,104,321

DEPRECIATION

At 1 January 2018

1,014,327

Charge for year

17,796

At 31 December 2018

1,032,123

NET BOOK VALUE

At 31 December 2018

72,198

At 31 December 2017

84,919

The net book value of assets held under finance leases or hire purchase contracts, included above are

£39,964 (2017 - £49,955).

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2018

2017

£

£

Trade debtors

283,176

280,054

Amounts owed by group undertakings

4,206,614

4,121,373

Other debtors

168,309

194,727

4,658,099

4,596,154

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2018

2017

£

£

Bank loans and overdrafts

78,823

-

Hire purchase contracts

697

8,128

Payments on account

186,827

236,318

Trade creditors

165,469

222,555

Amounts owed to group undertakings

3,844,523

3,625,790

Taxation and social security

35,313

140,529

Other creditors

547,256

632,020

4,858,908

4,865,340

9.	SECURED DEBTS

The following secured debts are included within creditors:

2018

2017

£

£

Hire purchase contracts

697

8,128

The company has given an unlimited guarantee to its bankers in respect of overdraft and loan facilities

granted to itself and the following group companies: Langham Secretarial College Limited, Quest

Professional Limited, University Tutorial Classes Limited and Rulebook Limited.

The company has also given a guarantee without any security in relation to a tenancy undertaken by

Quest Professional Limited.

The company would require group support to meet any such obligations, should they arise.

10.	RELATED PARTY DISCLOSURES

At the reporting date, the company owed £3,844,523 to group undertakings (2017 - £3,625,790) and

was owed £4,206,613 from group undertakings (2017 - £4,121,373). No interest was charged on

these balances during the year to 31 December 2018.

11.	ULTIMATE HOLDING COMPANY

The ultimate holding company throughout the year was Rulebook Limited, a company registered in

England and Wales. Its registered office is at Bridge House, London Bridge, London, United Kingdom,

SE1 9QR

12.	SHARE-BASED PAYMENT TRANSACTIONS

Where share options are awarded to employees, the fair value of the options at the date of grant is

charged to the Statement of comprehensive income over the vesting period. Non-market vesting

conditions are taken into account by adjusting the number of equity instruments expected to vest at

each Balance sheet date so that, ultimately, the cumulative amount recognised over the vesting period

is based on the number of options that eventually vest. Market vesting conditions are factored into the

fair value of the options granted. The cumulative expense is not adjusted for failure to achieve a

market vesting condition.

The fair value of the award also takes into account non-vesting conditions. These are either factors

beyond the control of either party (such as a target based on an index) or factors which are within the

control of one or other of the parties (such as the company keeping the scheme open or the employee

maintaining any contributions required by the scheme).

Where the terms and conditions of options are modified before they vest, the increase in the fair value

of the options, measured immediately before and after the modification, is also charged to Statement

of comprehensive income over the remaining vesting period.

Where equity instruments are granted to persons other than employees, the Statement of

comprehensive income is charged with fair value of goods and services received.