APEX PROFESSIONAL CONSULTING LTD

Executive Summary

APEX PROFESSIONAL CONSULTING LTD exhibits a sound financial position with strong liquidity and growing equity, typical for a young micro consulting firm. While the company’s asset base is modest, its working capital strength and regulatory compliance are positive health indicators. Continued focus on revenue growth, asset investment, and careful financial monitoring will support sustainable development and robustness against future challenges.

APEX PROFESSIONAL CONSULTING LTD - Analysis Report

Company Number: 14125393

Analysis Date: 2025-07-20 15:16 UTC

Financial Health Assessment for APEX PROFESSIONAL CONSULTING LTD

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1. Financial Health Score: B

Explanation:
APEX PROFESSIONAL CONSULTING LTD demonstrates solid financial stability and growth indicators typical of a young micro-entity in professional services. The company has healthy net current assets and a positive equity base, indicating good working capital management and retained earnings. However, the company is relatively new (incorporated 2022) with limited historical data and modest fixed assets, which slightly limits the strength of the financial profile. Overall, the financial health is good but with room to strengthen asset base and profitability.

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2. Key Vital Signs

Metric	2024 Value	Interpretation
Turnover (2023)	£269,584	Modest but reasonable revenue for a micro company in consulting. No 2024 turnover reported yet, likely due to reporting lag.
Fixed Assets	£6,325	Low but increased from previous year, typical for service business with minimal equipment.
Current Assets	£150,012	Healthy short-term assets mainly cash or receivables, indicating liquidity.
Current Liabilities	£100,833	Liabilities due within one year. Slight increase from prior year but manageable.
Net Current Assets (Working Capital)	£63,554	Positive and growing, showing good short-term financial health and ability to meet obligations.
Net Assets (Equity)	£46,259	Positive equity, increased significantly from previous £32,190, indicating retained profits or capital injections.
Average Employees	2	Small team consistent with micro company status.

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3. Diagnosis: What the Financial Data Reveals

• Healthy Cash Flow and Liquidity: The company shows strong net current assets (£63,554), which is a critical sign of liquidity "health." This means it has enough current resources to cover short-term debts without stress, an essential symptom of financial wellness.

• Growing Equity Base: The increase in net assets from £32,190 to £46,259 reflects profitability retained in the business or fresh capital, signaling positive financial momentum.

• Stable but Limited Asset Base: Fixed assets are minimal (£6,325), typical for service firms relying on intellectual capital rather than physical assets. This is not a concern but flags limited collateral for borrowing.

• Moderate Leverage: Current liabilities (£100,833) are significant but well covered by current assets and net current assets. The company is not showing signs of financial distress or over-leverage.

• Young Company with Limited Track Record: Incorporated in 2022, the company is still establishing history; therefore, caution is warranted in projecting long-term sustainability.

• Compliance and Governance: No overdue filings or penalties noted, reflecting good governance and regulatory compliance, which is vital for financial health and reputation.

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4. Recommendations: Actions to Improve Financial Wellness

1. Enhance Revenue Tracking and Reporting: Ensure turnover figures for the current year are accurately reported and monitored to track growth trends and profitability.

2. Build Fixed Asset Base Prudently: Consider investing in tools or technology that can improve operational efficiency or service delivery, potentially increasing long-term asset value.

3. Maintain Strong Working Capital Management: Continue to monitor current assets and liabilities closely to sustain liquidity and avoid cash flow strains especially as the business grows.

4. Plan for Growth and Capital Needs: As the company develops, explore options for financing or reinvestment to support expansion, including marketing or hiring skilled personnel.

5. Regular Financial Reviews: Conduct quarterly financial health "check-ups" to catch early symptoms of distress such as rising liabilities or declining cash reserves.

6. Risk Management and Contingency Planning: Develop plans for economic downturns or client payment delays to safeguard the company’s financial stability.

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