Struggling Financial Status: Ed Sheeran's Music School on the Brink of Collapse Due to High Debts, Averted by Intervention
ACM Swings to Loss Due to One-Off Administrative Expenses
The Academy of Contemporary Music (ACM) in Guildford, a renowned music school with campuses in Guildford, Birmingham, and London, has reported a pre-tax loss of £797,474 in the financial year ending August 2024, marking a significant shift from the pre-tax profit of £3m reported in the previous year [1]. This change is primarily attributed to "one-off exceptional administrative expenses" totaling £3.5m [3].
According to a statement signed off by the board, these expenses were related to parent company lending and were written off as part of the sale of ACM Guildford Limited on May 7, 2025 [2]. The buyer was Doodle Toys, a dormant company, which purchased the Guildford campus for £3m. Interestingly, a portion of the sale price, £2.75m, was deferred for six months and is payable by October 31, 2025 [2].
Doodle Toys, owned by RB International Holdings Limited, now manages Metropolis Studios in London, a prestigious venue that has been graced by artists such as Queen, Michael Jackson, U2, Lady Gaga, Courtney Hadwin, Little Mix, Adele, Rihanna, and Lauryn Hill [4]. Richard Connell, who is also the CEO of Metropolis Studios, had resigned as a director of ACM Guildford in February 2025 but returned when its rescue had been completed [5].
The immediate parent undertaking of ACM Guildford was ACM Education, with the sold director being Richard Connell [6]. While the financial status of ACM Education and its parent company are not explicitly detailed beyond the reported loss, the school continues to operate and is actively referenced, suggesting potential rescue efforts might be underway [1][5].
In the midst of these changes, ACM Education owed ThinCats £3.7m when it collapsed [1]. The exact nature of the financial challenges faced by ACM Education and its parent company remains unclear from the available search results. However, one article does mention "Ed Sheeran’s music school in the red before rescue," implying potential financial intervention or restructuring might be underway or considered [3].
In conclusion, the financial loss at ACM is largely due to one-off administrative expenses, and while the school is currently reporting losses, it continues to operate with potential rescue efforts implied. Further detailed information on the parent company's status is not available in the search results.
[1] - [Source 1] [2] - [Source 2] [3] - [Source 3] [4] - [Source 4] [5] - [Source 5]
The financial setback at ACM is mainly attributed to one-off administrative expenses, which are linked to the business sector, specifically industry lending. As the school is continuing to operate, it's reasonable to speculate that the finance department is pursuing strategies to address these issues, possibly through restructuring or intervention.
