BEE MORTGAGE WISE LTD

Executive Summary

Bee Mortgage Wise Ltd demonstrates a solvent and stable financial position with positive net assets and working capital, though cash reserves have declined notably over the past year. The company operates with a lean structure and must carefully manage liquidity and profitability to sustain its financial health. Focused attention on cash flow management and expense control will help maintain and improve its financial wellness moving forward.

BEE MORTGAGE WISE LTD - Analysis Report

Company Number: SC669841

Analysis Date: 2025-07-19 12:47 UTC

Financial Health Assessment of Bee Mortgage Wise Ltd as at 31 August 2024

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1. Financial Health Score: B

Explanation:
Bee Mortgage Wise Ltd shows a generally stable financial condition with positive net assets and net current assets, reflecting an overall solvent position. However, there is a noticeable decrease in cash reserves and net assets compared to prior years, which suggests some emerging liquidity pressure or increased operational costs. The company’s financial "vital signs" are healthy but warrant close monitoring to avoid potential cash flow stress.

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2. Key Vital Signs

Metric	2024 Value (£)	Interpretation
Cash at Bank	7,076	Adequate cash but reduced by ~40% from previous year (£11,757). Indicates tightening liquidity.
Current Liabilities	3,388	Decreased from previous year (£7,381), which is positive, reducing short-term debt pressures.
Net Current Assets	3,688	Positive working capital signals ability to cover short-term obligations comfortably.
Net Assets	4,728	Net positive equity confirms solvency but shows a decline from £5,676 the year before.
Shareholders’ Funds	4,728	Equity backing is positive but declining, indicating profits retained have been reducing.
Tangible Fixed Assets	1,040	Assets slightly depreciated but stable; minimal capital tied up in fixed assets.
Employees	1	Very small headcount; lean operation which can be both strength and vulnerability.

Additional Notes:

• Tax and social security creditors have decreased, easing immediate tax-related cash demands.
• The company is categorized as a small company, with exemption from audit, reflecting simpler financial structure.

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3. Diagnosis: Financial Health Overview

Bee Mortgage Wise Ltd exhibits a stable but cautious financial health profile. The company’s positive net current assets and net assets suggest it is fundamentally solvent with no signs of immediate distress. The reduction in cash reserves, however, acts like a "lowered pulse rate" signaling that the company should be watchful of cash flow management. The downward trend in equity and cash could indicate pressure from increased expenses, lower profitability, or investment in business growth without immediate returns.

The single-employee structure suggests high dependency on the director and limited operational scale, which is typical for a niche mortgage finance company but could limit capacity for growth or handling volatility.

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4. Recommendations: Prescriptions for Financial Wellness

• Boost Cash Reserves: Consider strategies to increase cash inflows or reduce discretionary expenses to strengthen liquidity, such as timely invoicing, expense control, or short-term financing if needed.
• Monitor Working Capital: Maintain a close watch on receivables and payables to ensure the net current assets remain positive, avoiding any liquidity crunch.
• Profitability Focus: Analyze income and expenditure trends to identify cost-saving opportunities and improve profit margins, which will help rebuild shareholder funds.
• Risk Management: With a lean operation, ensure contingency plans are in place for unexpected financial shocks to avoid sudden cash flow crises.
• Growth Planning: If growth is a goal, consider phased investment aligned with cash availability, avoiding overstretching financial capacity.
• Compliance and Reporting: Continue timely filing of accounts and confirmation statements to maintain good standing and avoid penalties.

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