ASTUTE AI LTD

Executive Summary

ASTUTE AI LTD is a very young company currently in its incubation phase with no operational assets, employees, or financial reserves. While the company complies with statutory filing requirements, it has yet to establish financial substance or cash flow. The outlook depends on successful capital injection and operational ramp-up, with strong governance and financial planning recommended to support growth.

ASTUTE AI LTD - Analysis Report

Company Number: 15025370

Analysis Date: 2025-07-29 12:57 UTC

Financial Health Assessment for ASTUTE AI LTD

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1. Financial Health Score: D (Early Stage with Minimal Financial Activity)

Explanation:
ASTUTE AI LTD is a newly incorporated company (July 2023) in the software development sector. The company’s financial data reflects its infancy stage, showing no recorded assets, liabilities, or reserves as of 31 July 2024. This results in a low financial health score due to lack of operational history or financial substance rather than distress. This is analogous to a newborn's check-up where vital signs are stable but the patient has yet to develop measurable strength or reserves.

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2. Key Vital Signs:

Metric	Value/Status	Interpretation
Incorporation Date	24 July 2023	Company is less than 1 year old, early stage
Total Assets Less Current Liabilities	£0	Neutral balance sheet; no net working capital or fixed assets yet
Reserves	Negative/None	No retained earnings or equity generated yet
Employees	0	No staff employed yet; minimal operational activity
Filing Status	Up-to-date (Accounts & Returns)	Compliance with statutory requirements maintained
Director & PSC	Single director/PSC with full control	Clear governance, but concentration risk present
Account Category	Total Exemption Full (Small company regime)	Limited reporting requirements, typical for a startup

Interpretation:
The company’s "vital signs" are consistent with a startup pre-revenue stage. The absence of assets and reserves indicates the company is likely in the setup or development phase, yet to generate sales or capital. Compliance with filing deadlines is a positive sign, showing good governance practices.

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3. Diagnosis:

• Financial Condition:
  The company is currently at the very beginning of its lifecycle with no operating history reflected in the accounts. The balance sheet shows zero net assets and no working capital, indicating the company has not yet commenced substantial business operations or investments. This "flatline" financial position is not a symptom of distress but rather the natural state of a newly formed entity.

• Operational Status:
  No employees and no recorded assets or liabilities suggest the company is in the preparatory or incubation phase, possibly focusing on product development or awaiting funding. The director, who is also the sole person with significant control, holds full responsibility and authority which may streamline decision-making but also concentrates risk.

• Risks:
  The lack of diversification in ownership and absence of operational data means the company is vulnerable to single-point failures. Without current assets or cash flow data, the company’s ability to sustain operations depends on external financing or capital injections not yet visible in the filing.

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4. Recommendations:

1. Develop a Cash Flow Plan:
   Establish a detailed cash flow forecast to ensure sufficient liquidity for operational ramp-up. Healthy cash flow is the lifeblood of any startup, enabling it to survive the initial stages before revenue generation.

2. Build Financial Reserves:
   Seek initial funding or capital contributions to build working capital. This will improve net current assets and provide breathing room for development and unforeseen expenses.

3. Operational Activity & Reporting:
   Begin recording operational metrics and financial transactions to create a robust financial history. This "symptom monitoring" will help detect early signs of financial stress or growth opportunities.

4. Governance and Risk Diversification:
   Consider expanding the management team or advisory board to reduce governance concentration risk and bring in complementary expertise.

5. Prepare for Growth:
   Plan for recruitment and asset acquisition aligned with business milestones. This will transition the company from a dormant-like state to an active operational entity.

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