BELFAST SURGICAL SERVICES LIMITED

Executive Summary

BELFAST SURGICAL SERVICES LIMITED maintains a solid financial foundation with good liquidity and positive net assets, indicating a generally healthy financial state. However, a recent decline in current assets and net equity warrants attention to prevent future cash flow stress. With prudent financial management and strategic growth initiatives, the company is well-positioned to sustain and enhance its financial wellness.

BELFAST SURGICAL SERVICES LIMITED - Analysis Report

Company Number: NI669095

Analysis Date: 2025-07-20 16:17 UTC

Financial Health Assessment for BELFAST SURGICAL SERVICES LIMITED as at 30 April 2024

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1. Financial Health Score: B

Explanation:
BELFAST SURGICAL SERVICES LIMITED demonstrates a stable financial position with positive net assets and working capital, indicating overall financial health typical of a small, specialist medical practice. However, the decline in current assets and net assets over recent years signals emerging cautionary signs that require monitoring and proactive management to maintain financial vitality.

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2. Key Vital Signs

Metric	2024 Value (£)	Trend Since 2021	Interpretation
Current Assets	31,773	Decreasing	Healthy liquid resources but diminished from prior years; potential liquidity tightening.
Current Liabilities	3,825	Decreasing	Reduced short-term obligations, positive for cash flow management.
Net Current Assets (Working Capital)	27,948	Slightly Decreasing	Strong working capital indicating ability to cover short-term debts comfortably.
Net Assets (Equity)	25,998	Decreasing	Positive net worth; however, a decline from previous years suggests profit retention challenges or asset reductions.
Share Capital	100	Stable	Nominal capital, typical for a micro-entity; equity primarily from retained earnings.
Average Employees	2	Stable	Small workforce consistent with micro-entity size; manageable overheads.

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3. Diagnosis: What the Numbers Reveal

• Healthy Cash Flow Indicator: The company maintains a strong buffer of net current assets (£27,948) relative to its current liabilities (£3,825), akin to a patient with a steady heartbeat and good blood pressure—able to meet short-term obligations without stress.

• Symptoms of Asset Reduction: The steady decline in current assets from £46,210 in 2023 to £31,773 in 2024 and a corresponding drop in net assets from £30,591 to £25,998 could indicate reduced cash inflows or increased expenditure. This is a mild symptom of financial pressure which, if left unchecked, could lead to liquidity constraints.

• Stable Workforce: Maintaining an average of two employees over multiple years suggests stable operational capacity, but with limited scalability unless investment in human resources increases.

• Equity Position: Positive shareholders’ funds imply the business is solvent with no overhang of debt. However, the declining equity signals potential erosion of retained profits or asset values.

• Micro-entity Status: Filing simplified accounts under micro-entity provisions reflects a small operation with limited complexity, which typically faces fewer financial risks but also has limited access to capital markets.

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4. Recommendations: Steps to Improve Financial Wellness

1. Strengthen Cash Reserves:
   Take measures to rebuild current assets by improving revenue collection cycles, controlling discretionary expenses, or enhancing service delivery to increase income. This will reinforce the "healthy pulse" of the company’s liquidity.

2. Monitor Expense Trends:
   Conduct a detailed expense review to identify areas where costs may be creeping up, analogous to checking for early signs of infection or inflammation that can weaken overall health.

3. Plan for Growth:
   With a stable but small workforce, consider strategic hiring or training to expand service capacity. This is like building muscle strength to support the body through future challenges.

4. Regular Financial Check-Ups:
   Implement monthly financial reviews and cash flow forecasting to detect any emerging symptoms of distress early, enabling timely intervention.

5. Explore Funding Options:
   Although currently solvent, the company might benefit from exploring modest external funding or grants to invest in equipment or technology, improving long-term resilience.

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