DOM BOOTH MUSIC LIMITED

Executive Summary

DOM BOOTH MUSIC LIMITED exhibits strong short-term financial health with growing liquidity and net assets, reflecting a stable and well-managed micro enterprise. The business shows no signs of financial distress, though it should maintain prudent cash flow management and consider strategic growth actions to sustain its positive trajectory. Overall, the company’s financial "vital signs" indicate a sound and resilient performing arts operation.

DOM BOOTH MUSIC LIMITED - Analysis Report

Company Number: 14156155

Analysis Date: 2025-07-29 21:00 UTC

Financial Health Assessment: DOM BOOTH MUSIC LIMITED (As of 30 June 2024)

---

1. Financial Health Score: B

This company demonstrates solid financial footing for a micro entity in the performing arts sector, with positive working capital growth and net assets increasing year on year. The "B" grade reflects healthy stability but also acknowledges the limited scale and the absence of detailed profitability data, which is typical for a micro company.

---

2. Key Vital Signs

Metric	2024 Value (£)	Interpretation
Current Assets	74,127	Healthy increase, indicating improved liquidity and cash or equivalents available.
Current Liabilities	19,821	Manageable short-term obligations; increase reflects some growth in operational scale.
Net Current Assets (Working Capital)	54,306	Positive and growing working capital signals strong short-term financial health ("healthy cash flow").
Net Assets (Equity)	54,306	Rising net asset base indicates retained earnings or owner investment, a good sign of financial strength.
Employee Count	1	Reflects a small, likely owner-operated business consistent with micro entity classification.

Interpretation:
The company’s liquidity ("vital sign") is robust, with net current assets almost doubling from £30,937 to £54,306 in a year. This suggests the business has sufficient short-term resources to cover liabilities comfortably. The growth in net assets demonstrates capital retention, which is important for sustainability.

---

3. Diagnosis: Financial Condition Overview

• Liquidity and Solvency: The company exhibits no symptoms of financial distress. The positive and increasing working capital means that it can meet its short-term debts comfortably, and there are no indications of cash flow problems.
• Growth and Stability: The doubling of net assets and working capital within one year implies that the business is growing steadily, possibly through reinvested profits or owner capital injections.
• Scale and Risk: Being a micro-entity with one employee (the director) limits operational complexity and financial risk, but also means exposure to personal capacity and market demand fluctuations.
• Governance and Control: The sole director and 75-100% shareholder control by Mr Dominic William Booth simplifies decision-making but also concentrates risk in one individual.

Overall, the company shows a "healthy pulse" with no signs of distress, but as a micro entity, it must remain vigilant to market and cash flow changes.

---

4. Recommendations to Improve Financial Wellness

• Maintain Strong Cash Flow Management: Continue monitoring working capital closely to ensure liquidity remains strong, especially in the performing arts sector which can be volatile.
• Build Financial Reserves: Aim to gradually increase reserves or retained earnings to cushion against unforeseen downturns or investment opportunities.
• Diversify Revenue Streams: If possible, explore additional income sources within the performing arts to reduce dependency on limited contracts or gigs.
• Formalize Financial Planning: Even as a micro-entity, adopting simple budgeting and forecasting tools will help anticipate and manage cash flow fluctuations.
• Consider Professional Advice: Engage with financial or business advisors periodically to identify growth opportunities and manage tax efficiency.

---