BOUNCING BEES PROPERTIES LTD

Executive Summary

BOUNCING BEES PROPERTIES LTD holds significant property assets but suffers from critical liquidity issues and negative net equity, indicating financial distress. Immediate focus on improving cash flow, restructuring debt, and potentially injecting capital is necessary to restore financial health and ensure sustainable operations. Without intervention, the company faces challenges in meeting its obligations despite its asset base.

BOUNCING BEES PROPERTIES LTD - Analysis Report

Company Number: 13713318

Analysis Date: 2025-07-20 17:36 UTC

Financial Health Assessment for BOUNCING BEES PROPERTIES LTD

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1. Financial Health Score: D

Explanation:
The company shows critical signs of financial distress. Despite holding significant fixed assets, the net assets are negative, indicating liabilities exceed assets. This "symptom" suggests a financial imbalance requiring urgent attention. The low liquidity and negative equity position pull down the overall health grade.

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2. Key Vital Signs

Metric	2023 Value (£)	Interpretation
Fixed Assets	456,042	Healthy asset base reflecting property or real estate holdings.
Current Assets	2,931	Very low short-term resources, signaling weak liquidity (cash or receivables).
Current Liabilities	137,542	Significant short-term obligations that the company must meet within a year.
Net Current Assets	-134,611	Negative working capital ("unhealthy cash flow"), indicating potential difficulty meeting short-term debts.
Creditors Due After 1 Year	323,615	Large long-term liabilities, possibly loans or mortgages against assets.
Total Net Assets	-2,184	Negative equity ("symptom of distress"), meaning total liabilities exceed total assets.
Shareholders’ Funds	-2,184	Negative shareholder equity reflecting accumulated losses or debt exceeding capital.
Employees	0	No employees, indicating minimal operational complexity or possibly a holding/investment entity.

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3. Diagnosis

BOUNCING BEES PROPERTIES LTD is a micro-entity primarily engaged in real estate operations, owning substantial fixed assets likely representing property holdings. However, its financial "vital signs" reveal a precarious situation:

• The company’s current assets are negligible compared to substantial current and long-term liabilities. This means the company may struggle to cover immediate debts, reflecting poor liquidity or "unhealthy cash flow."
• Negative net assets and shareholder funds indicate that liabilities exceed assets, a critical "symptom" of financial distress. This may result from accumulated losses, debt financing, or over-leveraging.
• The static fixed asset value suggests no recent acquisitions or disposals, but the high level of creditors due after one year signals ongoing debt obligations, potentially secured against these assets.
• The absence of employees aligns with the nature of a property holding company but indicates limited operational income generation capacity.
• Overall, the company’s balance sheet shows "symptoms" akin to a patient with chronic financial strain—stable in assets but burdened by excessive liabilities and insufficient liquid resources.

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4. Recommendations

To improve the financial wellness of BOUNCING BEES PROPERTIES LTD, consider the following actions:

• Liquidity Improvement: Seek ways to increase current assets, primarily cash or receivables, to improve working capital and ease short-term liquidity pressures.
• Debt Restructuring: Engage creditors to negotiate terms on current and long-term liabilities to reduce immediate financial strain and possibly extend repayment schedules.
• Capital Injection: Explore options for equity funding or shareholder loans to restore positive net assets and strengthen the balance sheet.
• Asset Review: Evaluate the fixed assets for potential sale or refinancing to release cash while optimizing the asset base.
• Financial Monitoring: Implement more frequent financial reviews and cash flow forecasting to catch early signs of distress and adjust operations accordingly.
• Operational Strategy: Since the company has no employees, consider if outsourcing property management or other operational roles could improve income generation or reduce costs.

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