A1 ACCESS SHUTTERS & MAINTENANCE LTD.

Executive Summary

A1 ACCESS SHUTTERS & MAINTENANCE LTD is currently experiencing significant financial distress, characterized by worsening liquidity and negative net assets. Immediate action to improve cash flow, restructure debt, and strengthen the capital base is critical to prevent insolvency. With timely intervention, the company can stabilize its financial health and improve its outlook.

A1 ACCESS SHUTTERS & MAINTENANCE LTD. - Analysis Report

Company Number: 12936115

Analysis Date: 2025-07-20 14:27 UTC

Financial Health Assessment: A1 ACCESS SHUTTERS & MAINTENANCE LTD

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1. Financial Health Score: D

Explanation:
The company shows clear symptoms of financial distress, with net liabilities and negative shareholder funds in the most recent year. The deteriorating working capital and declining net assets indicate a weakening financial condition. However, ongoing active status and absence of overdue filings show some operational continuity.

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2. Key Vital Signs

Metric	2024	2023	Interpretation
Fixed Assets	£5,517	£6,896	Declining fixed assets may indicate asset disposals or impairment.
Current Assets	£611	£1,975	Sharp drop in liquid/short-term resources—sign of strained liquidity.
Current Liabilities	£5,296	£2,595	Current liabilities doubled—pressure on short-term obligations.
Net Current Assets (Working Capital)	(£4,685)	(£620)	Negative and worsening working capital—a critical symptom of cash flow distress.
Total Assets Less Current Liabilities	£832	£6,276	Significant decline, showing erosion of asset buffer after paying short-term debts.
Creditors due after one year	£3,825	£6,037	Long-term liabilities reducing but still high relative to assets.
Net Assets / Shareholders Funds	(£3,413)	(£181)	Negative equity, a major warning sign of insolvency risk.

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3. Diagnosis

• Liquidity Crisis: The company’s current liabilities have nearly doubled while current assets have dropped sharply, leading to a deeply negative working capital position (£4,685 deficit). This suggests the business is struggling to cover its short-term debts with available liquid resources—a classic symptom of cash flow distress.

• Eroding Capital Base: Net assets have moved from a slight deficit (£181) to a substantial one (£3,413) within a year, signaling that accumulated losses have outstripped the company’s equity. This is a red flag for financial viability and creditor confidence.

• Asset Decline: Fixed assets have steadily decreased from £10,247 (2020) to £5,517 (2024), which may indicate asset sales or depreciation not adequately offset by new investment. This reduces the company’s production or operational capacity.

• No Employees: The company reported zero employees, which could mean reliance on subcontractors or minimal operations. This could limit growth prospects but also reduce fixed costs.

• Micro Entity Status: As a micro entity with minimal filing requirements, the company’s financial disclosures are limited. This can obscure some risks but also reflects its small scale.

• Control Structure: 100% ownership by a single director (Stephen Blackburn) means decision-making is centralized, which can be efficient but also concentrates risk.

Overall, the company is exhibiting symptoms of serious financial strain, particularly with liquidity and solvency. Without intervention, there is a risk of further deterioration potentially leading to insolvency.

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4. Recommendations

1. Improve Liquidity Management:

   • Focus on accelerating receivables collection and/or negotiating extended payment terms with suppliers to ease cash flow pressure.
   • Evaluate current assets closely—consider converting non-essential fixed assets into cash if needed.

2. Debt Restructuring:

   • Engage with creditors to restructure or refinance current and long-term liabilities to reduce near-term outflows and avoid default.

3. Cost Control and Revenue Growth:

   • Review operational costs, especially any discretionary spending, to conserve cash.
   • Explore new contracts or service lines to increase revenue, especially given the metal structures manufacturing SIC code which might have niche demand.

4. Capital Injection:

   • Consider additional equity investment or director loans to restore positive shareholder funds and rebuild working capital.

5. Regular Financial Monitoring:

   • Implement monthly cash flow forecasting and financial reviews to detect early warning signs and respond swiftly.

6. Seek Professional Advice:

   • Given the financial symptoms, consulting a turnaround specialist or insolvency practitioner early can provide strategic options before distress worsens.

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Medical Analogy Summary

The company is like a patient showing symptoms of severe dehydration and weakening vital signs—specifically, negative working capital (fluid deficit) and eroding equity (loss of blood cells). Immediate rehydration (cash flow management) and treatment (restructuring debts and costs) are essential to stabilize the condition and prevent collapse.

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