The On-Site Group Limited - Limited company accounts 17.3

REGISTERED NUMBER: 06912781 (England and Wales)

Group Strategic Report, Report of the Director and

Consolidated Financial Statements for the Year Ended 31 March 2017

for

The On-Site Group Limited

Page

Company Information

1

Group Strategic Report

2

Report of the Director

3

Report of the Independent Auditors

5

Consolidated Income Statement

7

Consolidated Other Comprehensive Income

8

Consolidated Balance Sheet

9

Company Balance Sheet

10

Consolidated Statement of Changes in Equity

11

Company Statement of Changes in Equity

12

Consolidated Cash Flow Statement

13

Notes to the Consolidated Cash Flow Statement

14

Notes to the Consolidated Financial Statements

15

DIRECTOR:

D D Burnett

SECRETARY:

M G Beeby

REGISTERED OFFICE:

Delme 2

Delme Place

Cams Hall Estate

Fareham

Hampshire

PO16 8UX

REGISTERED NUMBER:

06912781 (England and Wales)

AUDITORS:

Ency Associates

Chartered Certified Accountants

& Statutory Auditors

Printware Court

Cumberland Business Centre

Northumberland Road

Portsmouth

Hampshire

PO5 1DS

ACCOUNTANTS:

Ency Associates

Chartered Certified Accountants

& Tax Advisors

Printware Court

Cumberland Business Centre

Portsmouth

PO5 1DS

The director presents her strategic report of the company and the group for the year ended 31 March 2017.

The directors are satisfied with the performance of the business during the year.

REVIEW OF BUSINESS

The strategy of the Group to seek to develop business relationships with larger clients, where the quality of

our service and the added value that we bring to clients activities is both demanded and appreciated, has

enabled us to continue to increase our turnover on recruitment activities in each successive quarter of this

financial year and has resulted in an over 30% increase in turnover above that for the previous financial

year.

This has strengthened the underlying profitability of the on-going activities of the Group and enabled the

Group to return to profit in this year although the profit before tax has been restricted by £235K due to an

exceptional item in one of the Group companies.

During the year the lack of availability of suitably qualified and trained workers in the construction sector

has continued to be an on-going challenge to our ability to meet customers' requirements and the Group

also attributes the slowdown in investment in the construction sector to uncertainties created by delays in

progress in the Brexit negotiations.

The Group seeks to differentiate itself by a high level of focus on adding value by ensuring a high standard

of service and attention to detail in the selection of workers and meeting the requirements of clients. This

is reflected in the Group continuing to maintain its SHEQ accreditation for its standard of quality. This

enables the company to build and develop lasting relationships with its clients.

PRINCIPAL RISKS AND UNCERTAINTIES

One major risk to the business is the continued effect on the construction labour market of the changes in

employment legislation that have been introduced over the last few years.

A further risk continues to be the impact on construction and investment of delays in negotiating the terms

of the UK exit from the EU.

In the UK growth in GDP is now significantly below the various measures of inflation and there is the threat

that the Bank of England will counter this by triggering increases in interest rates. In addition to increased

financing costs this will increase the risk of bad debts as it will further weaken the financial position of some

major as well as smaller construction companies and also risks clients reducing funding costs by extending

payment terms. The company manages this risk by strict adherence to the limits placed by its credit

insurance agencies but reduced credit-worthiness of clients also reduces the volume of trade that the

Group is prepared to enter into with these companies.

ON BEHALF OF THE BOARD:

D D Burnett - Director

6 December 2017

The director presents her report with the financial statements of the company and the group for the year

ended 31 March 2017.

DIVIDENDS

No dividends will be distributed for the year ended 31 March 2017.

DIRECTORS

D D Burnett has held office during the whole of the period from 1 April 2016 to the date of this report.

Other changes in directors holding office are as follows:

Mrs C Rao ceased to be a director after 31 March 2017 but prior to the date of this report.

STATEMENT OF DIRECTOR'S RESPONSIBILITIES

The director is responsible for preparing the Group Strategic Report, the Report of the Director and the

financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law

the director has elected to prepare the financial statements in accordance with United Kingdom Generally

Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company

law the director must not approve the financial statements unless she is satisfied that they give a true and

fair view of the state of affairs of the company and the group and of the profit or loss of the group for that

period. In preparing these financial statements, the director is required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The director is responsible for keeping adequate accounting records that are sufficient to show and explain

the company's and the group's transactions and disclose with reasonable accuracy at any time the financial

position of the company and the group and enable her to ensure that the financial statements comply with

the Companies Act 2006. She is also responsible for safeguarding the assets of the company and the group

and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the director is aware, there is no relevant audit information (as defined by Section 418 of the

Companies Act 2006) of which the group's auditors are unaware, and she has taken all the steps that she

ought to have taken as a director in order to make herself aware of any relevant audit information and to

establish that the group's auditors are aware of that information.

ON BEHALF OF THE BOARD:

D D Burnett - Director

6 December 2017

We have audited the financial statements of The On-Site Group Limited for the year ended 31 March 2017

on pages seven to twenty six. The financial reporting framework that has been applied in their preparation

is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted

Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard

applicable in the UK and Republic of Ireland'.

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of

the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's

members those matters we are required to state to them in a Report of the Auditors and for no other

purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other

than the company and the company's members as a body, for our audit work, for this report, or for the

opinions we have formed.

Respective responsibilities of director and auditors

As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Board's Ethical Standards for Auditors.

Scope of the audit of the financial statements

An audit involves obtaining evidence about the amounts and disclosures in the financial statements

sufficient to give reasonable assurance that the financial statements are free from material misstatement,

whether caused by fraud or error. This includes an assessment of: whether the accounting policies are

appropriate to the group's and the parent company's circumstances and have been consistently applied

and adequately disclosed; the reasonableness of significant accounting estimates made by the director; and

the overall presentation of the financial statements. In addition, we read all the financial and non-financial

information in the Group Strategic Report and the Report of the Director to identify material

inconsistencies with the audited financial statements and to identify any information that is apparently

materially incorrect based on, or materially inconsistent with, the knowledge acquired by us in the course

of performing the audit. If we become aware of any apparent material misstatements or inconsistencies we

consider the implications for our report.

Opinion on financial statements

In our opinion the financial statements:

-	give a true and fair view of the state of the group's and of the parent company's affairs as at 31 March 2017 and of the group's loss for the year then ended;

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

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

Opinion on other matter prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit, the information given in the Group

Strategic Report and the Report of the Director for the financial year for which the financial statements are

prepared is consistent with the financial statements, and has been prepared in accordance with applicable

legal requirements. In the light of the knowledge and understanding of the group and the parent company

and its environment, we have not identified any material misstatements in the Group Strategic Report or

the Report of the Director.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us

to report to you if, in our opinion:

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

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

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

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

Mr Alan R Ayling FCCA (Senior Statutory Auditor)

for and on behalf of Ency Associates

Chartered Certified Accountants

& Statutory Auditors

Printware Court

Cumberland Business Centre

Northumberland Road

Portsmouth

Hampshire

PO5 1DS

6 December 2017

TURNOVER

3

20,437,566

15,345,207

Cost of sales

18,295,273

13,684,286

GROSS PROFIT

2,142,293

1,660,921

Administrative expenses

2,163,399

2,040,069

(21,106

)

(379,148

)

Other operating income

42,362

149,902

OPERATING PROFIT/(LOSS)

5

21,256

(229,246

)

Interest receivable and similar income

107

70

21,363

(229,176

)

Interest payable and similar expenses

7

1

216

PROFIT/(LOSS) BEFORE TAXATION

21,362

(229,392

)

Tax on profit/(loss)

8

61,480

(14,728

)

LOSS FOR THE FINANCIAL YEAR

(40,118

)

(214,664

)

Loss attributable to:

Owners of the parent

(40,118

)

(214,664

)

LOSS FOR THE YEAR

(40,118

)

(214,664

)

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(40,118

)

(214,664

)

Total comprehensive income attributable to:

Owners of the parent

(40,118

)

(214,664

)

FIXED ASSETS

Intangible assets

10

-

-

Tangible assets

11

60,275

62,074

Investments

12

-

-

60,275

62,074

CURRENT ASSETS

Debtors

13

5,578,210

4,076,438

Cash at bank and in hand

288,039

404,402

5,866,249

4,480,840

CREDITORS

Amounts falling due within one year

14

5,762,177

4,488,627

NET CURRENT ASSETS/(LIABILITIES)

104,072

(7,787

)

TOTAL ASSETS LESS CURRENT LIABILITIES

164,347

54,287

CREDITORS

Amounts falling due after more than one year

15

(140,000

)

-

PROVISIONS FOR LIABILITIES

18

(11,149

)

(971

)

NET ASSETS

13,198

53,316

CAPITAL AND RESERVES

Called up share capital

19

200

200

Retained earnings

20

12,998

53,116

SHAREHOLDERS' FUNDS

13,198

53,316

The financial statements were approved by the director on 6 December 2017 and were signed by:

D D Burnett - Director

FIXED ASSETS

Intangible assets

10

-

-

Tangible assets

11

-

-

Investments

12

900

900

900

900

CURRENT ASSETS

Debtors

13

760,587

868,474

Cash at bank and in hand

-

565

760,587

869,039

CREDITORS

Amounts falling due within one year

14

94,154

343,604

NET CURRENT ASSETS

666,433

525,435

TOTAL ASSETS LESS CURRENT LIABILITIES

667,333

526,335

CREDITORS

Amounts falling due after more than one year

15

140,000

-

NET ASSETS

527,333

526,335

CAPITAL AND RESERVES

Called up share capital

19

200

200

Retained earnings

20

527,133

526,135

SHAREHOLDERS' FUNDS

527,333

526,335

Company's profit/(loss) for the financial year

998

(336

)

The financial statements were approved by the director on 6 December 2017 and were signed by:

D D Burnett - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 April 2015

200

267,780

267,980

Changes in equity

Total comprehensive income

-

(214,664

)

(214,664

)

Balance at 31 March 2016

200

53,116

53,316

Changes in equity

Total comprehensive income

-

(40,118

)

(40,118

)

Balance at 31 March 2017

200

12,998

13,198

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 April 2015

200

526,471

526,671

Changes in equity

Total comprehensive income

-

(336

)

(336

)

Balance at 31 March 2016

200

526,135

526,335

Changes in equity

Total comprehensive income

-

998

998

Balance at 31 March 2017

200

527,133

527,333

Cash flows from operating activities

Cash generated from operations

1

(216,597

)

473,605

Interest paid

(1

)

(216

)

Tax paid

(118,237

)

(18,612

)

Net cash from operating activities

(334,835

)

454,777

Cash flows from investing activities

Purchase of tangible fixed assets

(31,642

)

(13,164

)

Interest received

107

70

Net cash from investing activities

(31,535

)

(13,094

)

Cash flows from financing activities

Amount introduced by directors

250,007

-

Amount withdrawn by directors

-

(127,881

)

Net cash from financing activities

250,007

(127,881

)

(Decrease)/increase in cash and cash equivalents

(116,363

)

313,802

Cash and cash equivalents at beginning of year

2

404,402

90,600

Cash and cash equivalents at end of year

2

288,039

404,402

1.	RECONCILIATION OF PROFIT/(LOSS) BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

31.3.17

31.3.16

£

£

Profit/(loss) before taxation

21,362

(229,392

)

Depreciation charges

33,442

33,138

Loss on disposal of fixed assets

-

3,181

Finance costs

1

216

Finance income

(107

)

(70

)

54,698

(192,927

)

Increase in trade and other debtors

(1,609,392

)

(369,902

)

Increase in trade and other creditors

1,338,097

1,036,434

Cash generated from operations

(216,597

)

473,605

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in

respect of these Balance Sheet amounts:

Year ended 31 March 2017

31.3.17

1.4.16

£

£

Cash and cash equivalents

288,039

404,402

Year ended 31 March 2016

31.3.16

1.4.15

£

£

Cash and cash equivalents

404,402

90,600

1.	STATUTORY INFORMATION

The On-Site Group Limited is a private company, limited by shares , registered in England and Wales.

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

Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

Basis of consolidation

The financial statements consolidate the accounts of The On-Site Group Limited and all of its

subsidiary undertakings.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard

102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose

related party transactions with wholly owned subsidiaries within the group.

Transactions between group entities which have been eliminated on consolidation are not disclosed

within the financial statements.

Turnover

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

discounts, rebates, value added tax and other sales taxes.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are

measured at cost less any accumulated amortisation and any accumulated impairment losses.

Tangible fixed assets

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

Fixtures & fittings

-

25% on reducing balance, 20% on cost and 20% on reducing balance

Computer equipment

-

33% on cost and 10% on cost

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated

Income Statement, except to the extent that it relates to items recognised in other comprehensive

income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been

enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed

at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods

different from those in which they are recognised in financial statements. Deferred tax is measured

using tax rates and laws that have been enacted or substantively enacted by the year end and that

are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is

probable that they will be recovered against the reversal of deferred tax liabilities or other future

taxable profits.

Hire purchase and leasing commitments

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

period of the lease.

Pension costs and other post-retirement benefits

The group operates a defined contribution pension scheme. Contributions payable to the group's

pension scheme are charged to profit or loss in the period to which they relate.

3.

TURNOVER

The turnover and profit (2016 - loss) before taxation are attributable to the one principal activity of

the group.

An analysis of turnover by class of business is given below:

31.3.17

31.3.16

£

£

Recruitment agency

20,346,606

15,254,247

Administration services

90,960

90,960

20,437,566

15,345,207

4.	EMPLOYEES AND DIRECTORS

31.3.17

31.3.16

£

£

Wages and salaries

8,484,709

4,044,325

Social security costs

1,009,112

464,988

Other pension costs

4,521

2,579

9,498,342

4,511,892

The average monthly number of employees during the year was as follows:

31.3.17

31.3.16

Office and administration

14

15

Sales and marketing

16

15

Temporary

141

72

Directors

2

2

173

104

The average number of employees by undertakings that were proportionately consolidated during

the year was 173 .

31.3.17

31.3.16

£

£

Directors' remuneration

92,537

103,769

Directors' pension contributions to money purchase schemes

372

244

5.	OPERATING PROFIT/(LOSS)

The operating profit (2016 - operating loss) is stated after charging:

31.3.17

31.3.16

£

£

Hire of plant and machinery

6,323

2,880

Depreciation - owned assets

33,441

33,138

Loss on disposal of fixed assets

-

3,181

Auditors' remuneration

8,050

10,800

6.	EXCEPTIONAL ITEMS

31.3.17

31.3.16

£

£

Exceptional items

(234,820

)

-

A legal query regarding the validity of the sale of a database by On-Site Recruitment Solutions Ltd

has been considered and as a result the contract has been annulled during the period. The

exceptional items cost is the reversal of the sale previously reported in the year ending 2014

financial statements.

7.

INTEREST PAYABLE AND SIMILAR EXPENSES

31.3.17

31.3.16

£

£

Bank interest

1

216