Northcoders has developed a flexible and scaleable business model through its combination of online and in person learning. The Directors believe that Northcoders’ success to date is due to the successful outcomes it delivers for its students, corporate customers and hiring partners. This is evidenced by the success students have in securing employment and the hiring partner network it has established. The Directors believe that maintaining this quality of outcomes is key as the Group seeks to implement its growth strategy.
The Directors believe that the networks it has created around its hubs in Manchester and Leeds can be replicated in other cities across the UK. The intention is to open a new hub in Birmingham in 2021 and at least two other hubs in 2022 with target cities
including Liverpool, Newcastle and Sheffield. Ultimately the Group intends to create a substantial network of Northcoders hubs across the UK.
The Directors believe that a physical presence in cities is critical to developing the networks to introduce students to prospective employers that ultimately employ them and to provide students with a rounded and quality teaching.
Given the efficiency of its online delivery, the benefits derived from its centralised services and the development of its internal systems, the introduction of new hubs, once established, will, the Directors believe, enhance the scale and profitability of the Group.
In addition, due to the fragmented nature of the market, the Directors consider that there may be opportunities to accelerate the organic roll-out and enhance the Group's offering through selective acquisitions.
The Directors also believe that there is the opportunity to develop the Group’s existing corporate solutions offering into a more substantial enterprise, offering bespoke software engineering solutions to companies and other organisations.
The Directors believe that the Company’s admission to AIM will allow the Company to access the capital it needs to facilitate this growth strategy.
Summary of key strengths
Key attributes of the Northcoders’ business are as follows:
- a balanced business model;
- market leading services and a strong brand;
- a proven, flexible and scalable platform;
- strong growth drivers;
- a clear growth strategy; and
- a fully accredited apprenticeship provider.