CC PROVIDING SUPPORTIVE SOLUTIONS LLP

Executive Summary

CC PROVIDING SUPPORTIVE SOLUTIONS LLP shows a healthy financial foundation for a newly incorporated micro-entity, with strong working capital and positive net assets supported by member funding. While the reliance on internal loans is typical at this stage, diversifying funding and building operational capacity will be key to sustaining future growth and financial stability.

CC PROVIDING SUPPORTIVE SOLUTIONS LLP - Analysis Report

Company Number: OC446228

Analysis Date: 2025-07-20 16:35 UTC

Financial Health Assessment for CC PROVIDING SUPPORTIVE SOLUTIONS LLP

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1. Financial Health Score: B

Explanation:
The company demonstrates a solid foundation with positive net assets and healthy working capital, indicating good short-term liquidity and solvency for a micro-entity in its first financial year. However, the presence of a substantial loan balance due to members shows reliance on internal financing, which, while common for startups, suggests some leverage and potential risk if external cash inflows do not materialize as anticipated.

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2. Key Vital Signs

Metric	Value (£)	Interpretation
Fixed Assets	429	Minimal investment in long-term assets; typical for a new LLP.
Current Assets	39,703	Good level of liquid or near-liquid resources at year-end.
Current Liabilities	(6,125)	Manageable short-term debts, low relative to current assets.
Net Current Assets (Working Capital)	33,578	Positive and healthy working capital, indicating ability to cover short-term obligations.
Total Net Assets	34,007	Positive equity position signals solvency and cushion for liabilities.
Loans and Debts due to Members	(52,892)	Significant internal funding; reflects members' financial support but also liability on books.
Members' Other Interests	86,899	Represents members' equity stake, showing a strong ownership base.
Employees	0	No employees other than members; low operational complexity.
Audit Status	Exempt	Small LLP exemption aligns with micro entity status; no audit required.

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3. Diagnosis: Financial Condition

CC PROVIDING SUPPORTIVE SOLUTIONS LLP is in the early stages of operation, reflected by its micro-entity status and minimal fixed assets. The financial "vital signs" show a generally healthy balance sheet with a strong net asset position and positive working capital, suggesting good liquidity and an ability to meet short-term liabilities without distress.

The "symptoms" include the significant loans owed to members (£52,892), which indicate reliance on member funding rather than external debt or operational cash flow. While this is not uncommon in newly formed LLPs, it is a point to monitor as it represents a form of internal leverage. The absence of external employees reduces overheads but also limits operational capacity, which could affect growth potential.

The company’s exemption from audit due to its small size is appropriate but limits external scrutiny, putting more emphasis on internal financial discipline and transparency.

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4. Recommendations: Steps to Improve Financial Wellness

• Diversify Funding Sources: While member loans provide essential early-stage capital, consider exploring external financing or gradual build-up of operational cash flows to reduce financial dependency on members and improve financial resilience.

• Build Operational Capacity: As the business grows, plan for hiring or contracting staff to diversify operational capabilities, which can drive revenue growth and reduce risks associated with member workload concentration.

• Cash Flow Monitoring: Establish robust cash flow forecasting to ensure ongoing liquidity is maintained and to anticipate any need for additional funding or cost controls.

• Prepare for Future Growth: Given the positive net asset base, explore strategic investments in fixed assets or technology that could enhance service delivery and competitive positioning.

• Maintain Compliance Timeliness: Continue to file accounts and confirmation statements timely to avoid penalties and maintain good standing with Companies House.

• Consider Audit Readiness: Although currently exempt, prepare financial systems and records to accommodate audit or review requirements as the business grows beyond micro-entity thresholds.

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