BEYONDSOFT CONSULTING (UK) LIMITED

Executive Summary

BEYONDSOFT CONSULTING (UK) LIMITED exhibits a solid financial foundation with positive working capital and net assets, reflecting healthy liquidity and solvency for its first full year of trading. The main financial symptom to watch is the high reliance on trade debtors for current assets, which could impact cash flow if collections slow. With prudent cash flow management and strategic growth, the company is well-positioned for continued financial stability and expansion.

BEYONDSOFT CONSULTING (UK) LIMITED - Analysis Report

Company Number: 14553986

Analysis Date: 2025-07-29 16:16 UTC

Financial Health Assessment of BEYONDSOFT CONSULTING (UK) LIMITED as of 31 December 2023

---

1. Financial Health Score: B

Explanation:
BEYONDSOFT CONSULTING (UK) LIMITED shows solid foundational financial health for a young business incorporated in late 2022. The company maintains positive net assets and healthy working capital, indicating it can cover short-term obligations comfortably. However, as a newly established small company with a single year of financial data, there is limited historical performance to fully ascertain consistency or resilience. The score "B" reflects a generally good financial position with room to strengthen liquidity and expand asset base.

---

2. Key Vital Signs

Metric	Value (£)	Interpretation
Current Assets	453,638	Healthy pool of short-term resources (cash + receivables).
Cash at Bank	114,064	Adequate cash buffer to meet immediate expenses.
Debtors (Trade + Other)	339,574	Significant receivables; potential risk if collection delayed.
Current Liabilities	283,134	Obligations due within one year; manageable relative to assets.
Net Current Assets (Working Capital)	170,504	Positive working capital, a sign of liquidity health.
Net Assets	171,399	Positive equity indicating solvency.
Share Capital	100,000	Initial funding base from shareholders.
Profit & Loss Reserve	71,399	Retained earnings reflecting initial profitability or capital contributions.

Vital Signs Interpretation:

• Working capital is positive (£170k), indicating the company can cover short-term debts with current assets, a sign of a "healthy cash flow system."
• Cash balance is reasonable but modest compared to trade debtors, suggesting reliance on timely collection for liquidity.
• Trade debtors represent about 75% of current assets, which is a "symptom" to monitor closely; delayed payments could strain cash flow.
• Current liabilities include trade creditors, accruals, and corporation tax, all typical short-term obligations. The company’s net assets are positive, a "healthy heart" indicating solvency.

---

3. Diagnosis

BEYONDSOFT CONSULTING (UK) LIMITED is in good financial health for a small and newly incorporated business focused on software development. The company demonstrates:

• Liquidity strength: Positive working capital and cash reserves sufficient to meet current liabilities.
• Solvency: Net assets and shareholder equity reflect a sound financial base with no negative equity.
• Asset quality: The majority of current assets are trade debtors, which introduces some risk if collection terms are extended or if clients delay payments.
• Operational scale: With only two employees and modest fixed asset investment, the business is in its early growth phase and maintaining lean operations.
• Governance: The company has a professional audit with an unqualified report, enhancing financial transparency and reliability.

Potential concerns or "symptoms of distress" to watch include reliance on receivables for liquidity and limited diversification of asset base. As a young entity, there is no long-term trend data, so consistent monitoring is advised.

---

4. Recommendations

To improve and sustain financial wellness, the company should consider the following:

• Enhance Cash Flow Management:
  Implement robust credit control policies to ensure timely collection of trade debtors, reducing the risk of cash flow bottlenecks.

• Build Cash Reserves:
  Aim to increase cash holdings relative to liabilities to create a stronger liquidity cushion against unforeseen expenses or delays in receivables.

• Diversify Asset Base:
  Consider investing in additional fixed assets or intangible assets that can support scaling operations or product development, improving long-term value.

• Monitor Working Capital Regularly:
  Frequent review of current assets and liabilities to detect early signs of financial strain, ensuring the business maintains a "healthy pulse."

• Strategic Growth Planning:
  Leverage the positive equity and ownership backing from the parent company to plan measured expansion in sales and workforce, supporting sustainable growth.

• Maintain Compliance and Reporting Discipline:
  Continue timely filing of accounts and confirmation statements to uphold corporate governance and stakeholder confidence.

---