B DEBONO LIMITED

Executive Summary

B DEBONO LIMITED demonstrates a solid financial foundation in its first year, with healthy liquidity and positive net assets signaling good early-stage viability. While still small and in startup mode, the company maintains strong governance and financial discipline, positioning it well for growth. Focused efforts on expanding revenue and prudently managing cash flow will be key to sustaining and improving financial health.

B DEBONO LIMITED - Analysis Report

Company Number: 15077563

Analysis Date: 2025-07-20 14:47 UTC

Financial Health Assessment Report: B DEBONO LIMITED

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1. Financial Health Score: B

Explanation:
B DEBONO LIMITED shows a solid financial footing for a company in its first full year of operation. The company has positive net assets, healthy working capital, and no overdue filings or apparent financial distress. However, given the early stage of the business, limited operational history, and modest scale, the financial health is sound but still developing. There is room for growth and strengthening of financial resilience.

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2. Key Vital Signs

Metric	Value (£)	Interpretation
Current Assets	63,061	Indicates liquid resources and receivables available; notably strong cash reserve (£50,461).
Current Liabilities	23,994	Short-term obligations are manageable relative to assets.
Net Current Assets	39,067	Positive working capital, showing good short-term liquidity ("healthy cash flow buffer").
Net Assets	42,379	Positive shareholder equity, showing the company is solvent and has a net positive balance.
Shareholders’ Funds	42,379	Reflects accumulated profits retained in business; healthy for a young company.
Fixed Assets	3,312	Modest investment in tangible assets, mainly office equipment.
Debt Structure	No long-term debt indicated	Limited reliance on external borrowing, reducing financial risk.
Filing Status	Up to date	No overdue accounts or confirmation statements, indicating regulatory compliance.
Staff Numbers	1	Small operational scale, typically low overheads but dependent on key personnel.

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3. Diagnosis: What the Financial Data Reveals About Business Health

• Liquidity & Cash Flow: The company exhibits a "healthy cash flow" state with a robust cash balance covering current liabilities by more than two times. This indicates the business can meet short-term obligations comfortably without stress.

• Solvency: Positive net assets and shareholders’ funds demonstrate that the company is solvent and retains value for its owners. There are no signs of financial distress such as negative equity or excessive liabilities.

• Operational Scale: As a newly incorporated entity (August 2023) with only one employee (the director), the company is in the startup phase. Its financial structure reflects a cautious and controlled growth approach.

• Revenue Recognition & Profitability: While turnover details are not disclosed here, the accumulation of profit and loss reserves suggests the company is either profitable or managing costs effectively.

• Governance & Control: Control is concentrated with Mr. Bradley Stuart Debono holding 75-100% of shares and voting rights, ensuring clear decision-making authority but also concentrating risk on one principal.

• Regulatory Compliance: Timely account and confirmation statement filings show good corporate governance practices.

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4. Recommendations: Specific Actions to Improve Financial Wellness

1. Build Revenue Streams: Focus on expanding client base and contracts to increase turnover and profitability. Early revenue growth will strengthen the company’s financial base.

2. Manage Cash Flow Prudently: Maintain the current positive working capital but prepare for potential fluctuations in receivables and payables especially as business scales.

3. Diversify Control & Governance: Consider involving additional directors or advisors to broaden oversight and reduce concentration risk.

4. Plan Capital Investment: The current small fixed asset base is appropriate now, but plan for potential investment in technology or infrastructure to support growth.

5. Monitor Tax Liabilities: With tax and social security creditors noted, ensure timely payments to avoid penalties and maintain healthy tax compliance.

6. Prepare for Audit Thresholds: While currently exempt from audit, monitor growth to anticipate when audit requirements will begin, ensuring timely preparation.

7. Document Financial Performance: As the company grows, develop a full set of financial statements including profit and loss accounts for better internal management and external stakeholder assurance.

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