BRAMBLE & CO HOLDINGS LTD

Executive Summary

Bramble & Co Holdings Ltd currently exhibits financial distress symptoms, with negative net assets and poor liquidity due to high short-term liabilities exceeding current assets. The company’s financial health score is D, reflecting significant risk despite being newly incorporated. Immediate action to improve working capital, restructure debt, and generate operational income is essential to stabilize and improve its financial condition.

BRAMBLE & CO HOLDINGS LTD - Analysis Report

Company Number: 15401390

Analysis Date: 2025-07-29 15:51 UTC

Financial Health Assessment for BRAMBLE & CO HOLDINGS LTD

---

1. Financial Health Score: D

Explanation:
The financial data of Bramble & Co Holdings Ltd reveals early signs of financial distress. Despite being a new company (incorporated in 2024) and categorized as a micro-entity, the balance sheet shows negative net assets and negative shareholders’ funds, which signals an unhealthy financial position. This earns a low grade, reflecting substantial financial strain needing prompt attention.

---

2. Key Vital Signs

Metric	Value (£)	Interpretation
Fixed Assets	311,950	Significant investment in long-term property or equipment.
Current Assets	5,449	Very low short-term liquid assets, indicating limited cash or receivables.
Current Liabilities	196,363	High short-term debts due within one year, posing liquidity pressure.
Net Current Assets	-190,914	Negative working capital; short-term obligations exceed short-term assets.
Total Assets Less Current Liabilities	121,036	Positive after subtracting current liabilities, showing some buffer.
Creditors Due After One Year	121,944	Long-term liabilities nearly equal to asset buffer, further stressing equity.
Net Assets (Total Equity)	-908	Negative net assets—liabilities slightly exceed assets, indicating insolvency risk.
Shareholders’ Funds	-908	Negative equity reflects accumulated losses or over-leverage.
Employees	0	No staff employed yet, possibly early stage or asset holding entity.

---

3. Diagnosis

The financial "vital signs" display clear symptoms of distress:

• Negative net assets and shareholders’ funds: The company’s total liabilities marginally exceed its assets, which is akin to an unhealthy heart rhythm in a patient. This signals potential insolvency if not addressed.
• Severe negative working capital: Current liabilities far outstrip current assets, meaning the company does not have enough short-term liquidity to cover its immediate obligations. This is a critical warning sign similar to a dangerously low blood pressure reading.
• High fixed assets relative to current assets: The company has invested heavily in fixed assets (likely property given the SIC code for real estate letting), but has minimal liquid assets, restricting operational flexibility.
• No employees: This could reflect a holding company structure or very early stage without operational activity; however, it also means limited revenue generation capacity presently.

Given this is the first set of accounts for a company incorporated in 2024, the negative equity might reflect initial financing structure (e.g., loans or creditors funding asset acquisition) rather than operational losses. However, this structure carries risk for future solvency unless profitability or equity injection improves.

---

4. Recommendations

To improve the company’s financial wellness and avoid worsening distress:

• Increase liquidity: Inject working capital through equity or short-term financing to improve current asset coverage of current liabilities. This is like providing fluids to stabilize a dehydrated patient.
• Review debt structure: Consider restructuring or extending repayment terms of current liabilities to ease immediate cash flow pressures.
• Generate revenue or operational activity: If the company is a holding entity, explore opportunities for rental income or asset monetization to create positive cash flow.
• Monitor financial health regularly: Implement monthly cash flow forecasts and balance sheet reviews to detect early signs of further financial deterioration.
• Seek professional financial advice: Engage with financial advisors to examine funding options and cost controls.

---