COCO MOON LTD

Executive Summary

COCO MOON LTD is a newly incorporated dormant company with stable but minimal financial activity and no signs of distress. The financial health is sound for the early stage, but activation of business operations and cash flow management will be critical to future success. Timely compliance and strategic planning are recommended to transition from dormancy to a thriving enterprise.

COCO MOON LTD - Analysis Report

Company Number: 15244234

Analysis Date: 2025-07-29 20:42 UTC

Financial Health Assessment for COCO MOON LTD

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1. Financial Health Score: Grade B

Explanation:
COCO MOON LTD is currently a dormant private limited company with minimal financial activity since incorporation in October 2023. The company's financial statements show a very limited balance sheet with £100 cash and net assets of £100, indicating no trading or operational activity to date. While this "dormant" status means no symptoms of financial distress, the business is in the very early stage with no active revenue generation or expenses. Hence, the financial health is stable but not yet demonstrative of business vitality or growth, resulting in a solid but cautious Grade B.

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2. Key Vital Signs

Metric	Value	Interpretation
Status	Active	Company is legally operating and compliant with filings.
Account Category	Dormant	No significant transactions or business activity reported.
Cash on Hand	£100	Minimal cash; sufficient only for administrative costs, indicating no operational cash flow yet.
Net Assets	£100	Equity equals cash, confirming no liabilities or investments made.
Shareholders’ Funds	£100	Fully corresponds to net assets; no debt financing or retained earnings.
Filing Compliance	Up to date	No overdue accounts or confirmation statements.
Director	1 (Xiaoxia HOU)	Single director controlling 75-100% shares and voting rights, demonstrating clear control and governance.
Industry SIC Code	96020	Hairdressing and beauty treatment sector, a service industry with potential for growth once active.

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3. Diagnosis: What the Financial Data Reveals

• Dormant Status Indicates No Current Business Activity: The company has not engaged in trading or incurred expenses, which is reflected in the dormant accounts filed under the small companies regime. This means the company is essentially in a "resting phase" with no operational cash flow or liabilities.

• Healthy Foundation but Early Stage: The presence of £100 cash and net assets suggests initial capital injection or minimal funds to maintain company registration and compliance. This is typical for a newly incorporated company preparing for future business activity.

• No Symptoms of Financial Distress: There are no debts, losses, or overdue filings. The company is current with Companies House requirements, which is a positive sign of good governance.

• Single Shareholder Control: Full ownership and control by Ms Xiaoxia Hou ensures streamlined decision-making but also indicates dependence on a single individual for future strategy and funding.

• Industry Potential: The hairdressing and beauty treatment sector can be competitive but offers steady demand, provided the company activates operations and builds client base.

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4. Recommendations to Improve Financial Wellness

• Initiate Business Operations: Transition from dormant to active trading by starting service delivery, generating revenue, and incurring operational expenses. This will create "healthy cash flow" signals in future accounts.

• Develop a Cash Flow Plan: As a service business, managing short-term cash inflows and outflows will be vital. Forecast customer payments, supplier costs, and overheads to avoid liquidity strain.

• Establish Financial Controls: Set up accounting and reporting systems early to track income, expenses, and profitability. This will help in diagnosing financial symptoms promptly as business grows.

• Consider Additional Capital: If expansion or equipment purchase is planned, assess funding needs early. Additional equity or small business loans may be required to support growth.

• Maintain Compliance Vigilance: Continue timely filing of accounts and confirmation statements to avoid penalties or administrative issues that could impair business health.

• Prepare for Market Entry: Develop marketing, client acquisition, and competitive strategies tailored to the beauty treatment sector to ensure operational success.

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