AXLE EVENTS AND PROJECT MANAGEMENT LIMITED

Executive Summary

AXLE EVENTS AND PROJECT MANAGEMENT LIMITED is a newly incorporated micro-entity showing a stable but very modest financial position with positive net assets and working capital. The company currently operates with minimal financial activity and no employees but maintains good compliance and governance. To ensure financial wellness, focus should be on developing cash flow, managing creditor obligations, and scaling operations prudently.

AXLE EVENTS AND PROJECT MANAGEMENT LIMITED - Analysis Report

Company Number: 15221779

Analysis Date: 2025-07-29 18:48 UTC

Financial Health Assessment for AXLE EVENTS AND PROJECT MANAGEMENT LIMITED

---

1. Financial Health Score: C

Explanation:
Given that this company is newly established (incorporated in October 2023) and classified as a micro-entity, its financial data is limited. The company shows positive net assets and working capital, but the absolute values are very small, reflecting an early-stage business. The score 'C' reflects a cautious but stable position with potential risks due to limited operational scale and financial history.

---

2. Key Vital Signs

Metric	Value	Interpretation
Current Assets	£581	Very low cash & short-term assets, typical for startup stage
Current Liabilities	£193	Low short-term obligations, manageable with current assets
Net Current Assets (Working Capital)	£388	Positive but minimal cushion to cover short-term debts
Creditors > 1 year	£831	Long-term liabilities exceed current assets, a concern
Net Assets (Equity)	£919	Positive equity showing shareholders’ funds cover liabilities
Employees	0	No employees yet; low operational complexity
Company Age	~1 year	Early life cycle; financial patterns not yet established

Interpretation:
The company’s “vital signs” show a small but positive financial position — a “healthy cash flow” analogy is not applicable yet due to tiny figures and no operational employees. The positive net assets indicate no insolvency symptoms, but the presence of longer-term creditors exceeding current assets signals cautious monitoring is needed.

---

3. Diagnosis

• Early-stage health: The company is in its infancy, having operated for less than a year. The balance sheet is small but positive, which is a good initial sign.
• Symptoms of distress: The primary symptom to watch is the level of longer-term creditors (£831) relative to current assets (£581). This could reflect initial financing or startup costs funded by loans or deferred income. Without revenue and profit data, the risk is that the company will need to generate cash flow quickly to service these obligations.
• Operational scale: No employees and minimal assets suggest the company is still setting up or in a preparatory phase rather than full operations.
• Governance: The company has three directors, all with event management backgrounds, providing relevant expertise. Ownership is split, with two major shareholders controlling 25-50% each, indicating balanced control.
• Regulatory compliance: No overdue filings or accounts, indicating good compliance “health”.

---

4. Recommendations

• Develop cash flow management: While current assets cover short-term liabilities, the company must establish a “healthy cash flow” through early revenue generation to manage longer-term debts.
• Monitor creditor levels: The £831 long-term creditors should be reviewed—understand maturity, interest, and repayment terms to avoid liquidity strain.
• Build operational capacity: Hiring initial employees or engaging contractors will be necessary to move from setup to revenue generation in event management.
• Prepare for growth: As a micro-entity, the next step is to scale carefully, tracking financial metrics closely to avoid symptoms of distress like cash shortages or overdue payments.
• Maintain compliance: Continue timely filing of accounts and confirmation statements to avoid penalties and maintain good standing.
• Seek financial advice: Especially with limited financial history, consulting with financial advisors to plan budgeting, forecasting, and funding strategies is prudent.

---