BETTERMENT CONSULTING LIMITED

Executive Summary

Betterment Consulting Limited shows a stable financial foundation with positive net current assets and shareholder equity, reflecting a healthy start for this micro-sized consultancy. While liquidity is adequate and compliance up to date, limited financial disclosures and scale suggest prudence as the company grows. Strengthening cash reserves and enhancing financial transparency will be key to sustaining and improving its financial health.

BETTERMENT CONSULTING LIMITED - Analysis Report

Company Number: 14355956

Analysis Date: 2025-07-29 15:54 UTC

Certainly, let's conduct a detailed financial health assessment of Betterment Consulting Limited based on the financial data and company information provided.

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1. Financial Health Score: B

Explanation:
Betterment Consulting Limited exhibits a sound initial financial position with positive net current assets and shareholders' funds, indicating a stable foundation. However, its micro-entity size with modest asset levels and limited financial history suggests some caution. The absence of an income statement limits visibility on profitability and cash flow, but current indicators show no signs of distress. Hence, a "B" grade reflects a generally healthy but still nascent financial status with room to improve.

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2. Key Vital Signs

Metric	Value (£)	Interpretation
Current Assets	1,094	Represents short-term assets readily convertible to cash. Modest level but positive.
Current Liabilities	830	Debts and obligations due within one year. Reasonable size relative to current assets.
Net Current Assets	264	Positive working capital indicates the company can cover short-term liabilities comfortably.
Total Assets less Current Liabilities	264	Essentially the net assets, showing a positive but small equity base.
Shareholders’ Funds	264	Equity held by owners is positive, showing no accumulated losses to date.
Average Number of Employees	2	Small workforce consistent with micro company status; manageable overheads.
Company Status	Active	Currently operating with no overdue filings, indicating good compliance health.

Interpretation:

• Healthy cash flow indicator: Positive net current assets suggest the company has enough liquid resources to meet short-term obligations, a key sign of financial "vitality."
• Modest scale: The company’s micro categorization and small asset base reflect an early-stage business with limited operational scale.
• No overdue filings: Timely compliance with filings and returns signals sound administrative and governance "vital signs."

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3. Diagnosis

Betterment Consulting Limited shows the symptoms of a financially stable but embryonic business. The company is in its early stages of operation (incorporated in September 2022) and has maintained a positive but small equity base (£264). The positive net current assets imply no immediate liquidity distress, which is reassuring.

However, the financial statements reveal limited scale and depth, with only current assets of £1,094 and current liabilities of £830. The absence of an audited income statement and limited disclosures restrict the ability to assess profitability, cash flow generation, and operational efficiency.

The company operates in quantity surveying (SIC 74902), a professional consultancy field, typically requiring low fixed assets but strong cash flow management and contract receivables. The average employee count of 2 aligns with a small consultancy setup.

Overall, the company’s financial health shows no alarming symptoms such as negative working capital, significant liabilities, or shareholder deficits. The positive albeit modest net assets reflect a "healthy pulse," but the business remains at a delicate early stage where growth and cash flow generation are critical.

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4. Recommendations

To strengthen financial wellness and mitigate early-stage risks, consider the following actions:

• Enhance financial transparency: Prepare detailed profit & loss accounts and cash flow statements regularly to monitor operational performance and cash generation. This will provide a clearer picture for stakeholders and support decision-making.

• Build cash reserves: Aim to increase current assets, especially cash and receivables, to create a buffer against unforeseen expenses or delays in client payments.

• Manage liabilities prudently: Keep current liabilities under tight control to maintain positive working capital. Avoid overextending credit or incurring unnecessary short-term debts.

• Focus on revenue growth: As a consultancy, secure more contracts and clients to increase turnover and profitability, which will naturally improve equity and net assets.

• Maintain compliance rigor: Continue timely filings and statutory obligations to avoid penalties and maintain corporate reputation.

• Consider professional advice: Engage with financial advisors or accountants to develop budgeting, forecasting, and financial controls tailored to the consultancy’s growth phase.

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