BOLD GAS DETECTION SOLUTIONS LTD

Executive Summary

BOLD GAS DETECTION SOLUTIONS LTD exhibits solid financial health for a micro-entity, with improving net assets and working capital indicating operational stability. The company should focus on strengthening its capital base and maintaining strong cash flow management to ensure continued growth and resilience. Overall, the business is financially sound but must remain proactive to avoid liquidity risks.

BOLD GAS DETECTION SOLUTIONS LTD - Analysis Report

Company Number: 13151148

Analysis Date: 2025-07-20 18:08 UTC

Financial Health Assessment Report for BOLD GAS DETECTION SOLUTIONS LTD

---

1. Financial Health Score: B

Explanation:
The company demonstrates solid growth in net assets and working capital over its three-year history, indicating improving financial stability. While the overall scale remains small, the steady accumulation of equity and positive net current assets suggest healthy operational footing. The score "B" reflects a generally good condition with room for improvement in liquidity management and diversification of capital.

---

2. Key Vital Signs

Metric	2024 Value (£)	Interpretation
Fixed Assets	2,431	Small but increasing investment in long-term assets signals modest capital expenditure.
Current Assets	7,591	Healthy level of liquid or near-liquid assets to cover short-term obligations.
Current Liabilities	4,271	Manageable short-term debts, but monitoring is essential to avoid liquidity strain.
Net Current Assets	3,635	Positive working capital ("healthy cash flow") showing ability to meet short-term liabilities.
Total Assets Less CL	6,066	Reflects overall asset strength after short-term debts.
Net Assets / Shareholders Funds	4,074	Growing equity base, indicating retained earnings and capital accumulation.
Share Capital	100	Minimal initial capital; reliance on retained profits for growth.

---

3. Diagnosis

Symptoms Analysis:

• The company's net assets have increased from £66 in 2021 to over £4,000 in 2024, indicating a positive trend in profitability or capital injection.
• Working capital has similarly improved, nearly tripling, which is a strong sign of liquidity health and operational efficiency.
• The fixed assets base, while modest, is growing, showing some investment in business infrastructure or equipment.
• The current liabilities have increased but remain well covered by current assets, suggesting no immediate distress.
• The absence of audit and limited staff (only 1 person including the director) fits the micro-entity profile, implying a lean operation with low overheads.
• Filing deadlines are met with no overdue accounts or returns, indicating good compliance and governance "vital signs".
• The company operates in a niche SIC code (82990), reflecting specialized business support activities which may have variable cash cycles.

Overall Diagnosis:
BOLD GAS DETECTION SOLUTIONS LTD shows symptoms of a financially stable micro-entity with improving equity and liquidity. There are no red flags such as negative net assets or overdue filings. However, the relatively small scale and minimal capital base mean the company should monitor cash flow closely to avoid "financial fatigue" in case of unexpected expenses or revenue fluctuations.

---

4. Recommendations

• Strengthen Capital Base: Consider increasing share capital or seeking external investment to improve financial resilience and support growth initiatives.
• Cash Flow Monitoring: Maintain rigorous cash flow forecasting to ensure liquidity remains robust, especially given the increase in current liabilities.
• Asset Utilization: Review fixed asset investments to ensure they are contributing effectively to revenue generation or operational efficiency.
• Profit Retention: Continue building reserves through retained profits to enhance shareholders funds and reduce reliance on short-term liabilities.
• Compliance Vigilance: Keep up timely filings and governance practices to maintain business credibility and avoid penalties.
• Growth Strategy: Explore diversification of services or client base within the business support sector to mitigate risk from market changes.

Using the medical analogy, the company currently enjoys "healthy cash flow" and "strong equity pulse," but should avoid any "financial shock" by shoring up its capital and maintaining liquidity vigilance.

---