ACCESS TRANSLATION AND INTERPRETING LTD

Executive Summary

ACCESS TRANSLATION AND INTERPRETING LTD is financially vulnerable with minimal net assets and working capital, reflecting a fragile liquidity position typical of a small micro-entity. The company currently meets its short-term obligations but lacks a buffer against financial shocks, indicating a need for improved profitability and capital strengthening. Focused efforts on boosting working capital, profitability, and financial monitoring will enhance resilience and support sustainable growth.

ACCESS TRANSLATION AND INTERPRETING LTD - Analysis Report

Company Number: 12806789

Analysis Date: 2025-07-20 11:52 UTC

Financial Health Assessment: ACCESS TRANSLATION AND INTERPRETING LTD

---

1. Financial Health Score: D

Explanation:
The company demonstrates a fragile financial position with very limited net assets and working capital. Although it remains solvent with positive net current assets, the margin is extremely thin. The stability is borderline, reflecting symptoms of financial distress that require attention to avoid deterioration.

---

2. Key Vital Signs

Metric	2023 Value	Interpretation
Current Assets	£1,624	Very low cash and receivables; limited liquidity.
Current Liabilities	£1,556	Slightly less than current assets—liabilities due soon.
Net Current Assets	£68	Positive but minimal working capital (buffer to meet short-term debts).
Net Assets (Shareholders' Funds)	£68	Equity base is very small, indicating limited retained earnings or capital.
Share Capital	£100	Minimal paid-in capital, typical for micro-entities.
Employee Count	1	Sole operator or very small operation, low fixed costs.
Account Category	Micro	Simplified reporting, but reflects very small scale.

Interpretation:
The company’s "vital signs" indicate it is barely sustaining its financial health. The positive but very small net current assets suggest the company can currently meet short-term obligations, but there is almost no cushion for unexpected expenses or downturns. The stagnant net assets over recent years show no growth in equity, indicating limited profitability or reinvestment.

---

3. Diagnosis

ACCESS TRANSLATION AND INTERPRETING LTD is akin to a patient with mild but persistent symptoms of financial frailty. The company maintains a “healthy cash flow” in the narrowest sense, managing to keep liabilities just under control. However, the limited net assets and working capital act like a low-grade fever—an early warning sign that the business lacks financial resilience. The single-employee structure suggests low overheads but also limited capacity for growth or diversification.

The company’s financial history over the past four years shows a declining trend in net assets from £218 in 2020 to £68 in 2023, indicating ongoing erosion of financial strength. This might reflect thin profit margins, low revenue growth, or possibly reinvestment challenges. The micro-entity accounting status simplifies compliance but also highlights the company’s modest scale.

---

4. Recommendations

To improve financial wellness and build a stronger foundation, the company should consider the following:

• Increase Working Capital Buffer: Aim to grow current assets relative to current liabilities to build a more comfortable liquidity cushion. This may involve managing receivables more effectively or retaining cash rather than distributing profits.

• Boost Profitability: Analyze pricing, cost structure, and operational efficiency to enhance profit margins. Even small improvements can significantly impact a micro-entity’s net assets.

• Explore Capital Injection: Consider raising additional capital through shareholder investment or loans to strengthen equity and provide funds for growth initiatives.

• Cost Control: Maintain strict control on expenses to avoid eroding the already thin net assets.

• Expand Client Base/Services: To improve revenue, explore opportunities to diversify services or acquire more clients, thus increasing turnover and financial robustness.

• Regular Financial Monitoring: Establish routine financial reviews to catch early signs of distress and respond proactively.

---