BETTER CARE AND SUPPORT SERVICES LTD

Executive Summary

BETTER CARE AND SUPPORT SERVICES LTD shows a stable financial foundation with positive net assets and liquidity. However, the lack of employees and limited current assets suggest a cautious operational footprint. Strengthening operational capacity and maintaining liquidity will be crucial for sustainable growth and financial wellness.

BETTER CARE AND SUPPORT SERVICES LTD - Analysis Report

Company Number: 12826020

Analysis Date: 2025-07-20 11:32 UTC

Financial Health Assessment for BETTER CARE AND SUPPORT SERVICES LTD

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1. Financial Health Score: B

Explanation:
The company demonstrates a solid asset base with positive net current assets and growing net assets over the past few years. However, the very low current asset base relative to fixed assets and minimal activity (no employees) suggests cautious optimism. The financial condition is stable but with some signs warranting attention to ensure sustained health.

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2. Key Vital Signs:

Metric	2024 Value (£)	Interpretation
Fixed Assets	14,970	Represents investment in long-term assets, stable over recent years.
Current Assets	2,803	Low but improved net current assets suggest manageable short-term liquidity.
Current Liabilities	532	Low short-term obligations, indicating limited immediate financial pressure.
Net Current Assets	2,271	Positive working capital — a "healthy cash flow" indicator meaning the company can cover short-term debts comfortably.
Net Assets (Equity)	17,241	Increasing net assets reflect retained earnings or capital injection, a sign of financial strength.
Share Capital	1	Nominal share capital, typical for micro-entities.
Employees	0	No staff employed, suggesting either outsourced services or very limited operations.

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3. Diagnosis:

• Asset Structure: The company holds stable fixed assets (£14,970) which have not changed over three years, suggesting no recent reinvestment or asset disposal. This could be equipment or property related to residential care services.
• Liquidity and Working Capital: Current assets exceed current liabilities by a good margin (£2,271), indicating the company can comfortably meet its short-term obligations. This is a critical sign of "healthy cash flow," avoiding liquidity distress symptoms.
• Growth and Profitability: Net assets increased from £14,971 (2023) to £17,241 (2024), showing accumulated retained earnings or capital contributions. However, the lack of employees and minimal current assets hints that the company’s operational scale or revenue generating activities may be limited.
• Operational Status: The absence of employees suggests the business might be in a start-up phase, outsourcing all operations, or potentially not fully active operationally despite being registered as active.
• Control and Governance: The company is wholly owned and controlled by Mrs Akua Birago Twum, simplifying decision making but also concentrating risk in a single individual’s management and financial discipline.
• Compliance: Timely filing of accounts and returns indicates good administrative compliance—no overdue filings or penalties, a positive governance sign.

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4. Recommendations:

• Increase Operational Scale: To improve financial resilience, consider hiring key staff or outsourcing with stronger contractual arrangements to support business growth and revenue generation.
• Monitor Liquidity: Maintain positive net current assets; careful cash flow management is essential given the small current asset base.
• Asset Utilization Review: Evaluate the fixed assets’ contribution to revenue—idle assets can tie up capital unnecessarily.
• Financial Planning: Develop a clear budget and cash flow forecast to anticipate working capital needs and potential investment in operations.
• Risk Diversification: Consider adding more shareholders or directors to diversify management risk and bring additional expertise.
• Strategic Growth: Explore funding options or partnerships to increase capital base beyond the nominal share capital to fund expansion.

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