AMBASRI CONSULTANCY LTD

Executive Summary

AMBASRI CONSULTANCY LTD exhibits solid financial health characterized by strong liquidity, growing shareholders’ funds, and a stable operational base typical of a micro consultancy. While the company shows no signs of distress, focusing on long-term asset investment and structured profitability monitoring will enhance future resilience and growth potential.

AMBASRI CONSULTANCY LTD - Analysis Report

Company Number: 13889979

Analysis Date: 2025-07-20 18:46 UTC

Financial Health Assessment of AMBASRI CONSULTANCY LTD

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1. Financial Health Score: B

Explanation:
The company demonstrates solid improvements in its financial position over the last two years, showing growth in net current assets and shareholders’ funds. The liquidity position is healthy with more than adequate working capital to cover short-term obligations. However, as a micro-entity with modest absolute figures and limited fixed assets, there is room for strengthening long-term asset investment and profitability sustainability.

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2. Key Vital Signs

Metric	31 March 2024	Interpretation
Fixed Assets	£843	Very minimal long-term assets; typical of a micro consultancy.
Current Assets	£19,096	Significant increase indicating improved cash/debtor position.
Current Liabilities	£10,220	Increase aligned with business growth, manageable short-term debt.
Net Current Assets	£8,876	Strong positive working capital, indicates healthy liquidity.
Total Net Assets	£8,890	Positive equity, growing steadily from prior years.
Shareholders Funds	£8,890	Reflects retained earnings and capital contributions.
Average Employees	2	Small team consistent with micro-entity status.

Interpretation:

• The company’s liquidity is robust, with nearly double the current liabilities covered by current assets, indicating a "healthy cash flow" symptom and good short-term financial resilience.
• Growth in net assets from £1,713 in 2023 to £8,890 in 2024 is a positive sign of value creation and retained profits.
• Fixed assets are minimal, which is common in consultancy but suggests low capital investment.
• The company operates with only two employees, reflecting a lean structure typical in micro-entities.

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3. Diagnosis: Financial Condition Assessment

AMBASRI CONSULTANCY LTD shows the "vital signs" of a financially stable micro business. The strong working capital position and consistent growth in shareholders’ funds signal a healthy balance sheet without immediate distress symptoms. The company’s ability to increase its current assets substantially indicates improved cash management or receivables collection, vital for operational wellness.

However, the low level of fixed assets and small scale of operation imply limited capacity for scaling without additional investment. The company’s micro classification restricts detailed financial disclosure, so profitability and cash flow details beyond balance sheet metrics are not visible but implied stable given equity growth.

No indications of financial distress, overdue filings, or legal complications exist, and directors appear stable with significant control but no red flags such as disqualifications.

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4. Recommendations for Financial Wellness Improvement

• Enhance Long-Term Asset Base: Consider investing in technology or equipment to support service delivery efficiency or future growth. This would improve fixed asset holdings and potential operational capacity.
• Maintain Strong Cash Flow: Continue diligent management of receivables and payables to preserve positive net current assets, ensuring "healthy cash flow" to fund daily operations smoothly.
• Profitability Monitoring: Implement or enhance internal profit tracking and budgeting processes to detect early any downturn trends, given limited financial disclosures.
• Growth Planning: Explore opportunities for scaling client base or service offerings cautiously, ensuring that working capital and staffing can support expansion.
• Risk Management: Maintain compliance with filing deadlines and corporate governance to avoid penalties or reputational risks.

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