DOUBLE DUCK LTD
Executive Summary
DOUBLE DUCK LTD is a dormant private limited company with minimal financial activity and nominal share capital, indicating an inactive business state. While financially stable with no debts or losses, it lacks operational vitality and cash flow generation. To improve financial health, the company should consider commencing trading activities, increasing capital, and enhancing governance engagement.
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This analysis is opinion only and should not be interpreted as financial advice.
DOUBLE DUCK LTD - Analysis Report
Financial Health Assessment for DOUBLE DUCK LTD
1. Financial Health Score: Grade D
Explanation:
DOUBLE DUCK LTD is currently classified as a dormant private limited company with minimal financial activity and a nominal share capital. The financial data shows negligible assets and shareholders' funds (£1), indicating no trading or operational activity. While the company is compliant with filing requirements and maintains its legal standing, the absence of revenue, assets, or liabilities signals a very low level of financial vitality. This limits its immediate business health but also means no financial distress.
2. Key Vital Signs
Metric | Value | Interpretation |
---|---|---|
Company Status | Active | Company is legally registered and operational |
Account Category | Dormant | No significant financial transactions reported |
Net Assets | £1 | Minimal capital, no operating assets or liabilities |
Shareholders' Funds | £1 | Reflects nominal share capital only |
Cash | £1 | Essentially no cash reserves or operating funds |
Filing Status | Up to date | No overdue accounts or returns filings |
Director | Single Director | Director currently unemployed, suggesting no active business engagement |
SIC Code | 70229 | Classified as management consultancy (non-financial), but dormant status means no activity |
3. Diagnosis: What the Financial Data Reveals
The financial "symptoms" of DOUBLE DUCK LTD indicate a company in a state of dormancy—akin to a patient in remission or hibernation. The balance sheet shows only the nominal share capital with no active trading, revenue generation, or business assets. This means the company is not currently generating cash flow or incurring liabilities, which, while healthy in terms of no debt, also points to a lack of operational vitality.
The dormant status is typically used for companies that are either newly incorporated but not yet trading, or those kept in reserve without active business. The director's unemployment status supports that the company is not currently engaged in active management or trading.
From a financial wellness perspective, the company lacks any "vital signs" of operational health such as liquidity, profitability, or asset base. However, absence of financial distress symptoms (no debts, no losses) means the company is stable but inactive.
4. Recommendations: Steps to Improve Financial Wellness
- Activate Trading or Business Operations: If the intent is to grow the company, initiating business activities will bring in revenues and expenses, providing meaningful financial data and vitality.
- Capital Injection: Consider increasing share capital or securing funding to build a working capital base to support initial operations.
- Financial Planning and Budgeting: Develop a business plan with financial forecasts to guide operational decisions and monitor cash flows once trading begins.
- Director Engagement: The director should actively engage in business development or appoint additional directors with relevant expertise to strengthen governance.
- Regular Financial Monitoring: Once active, track key financial metrics such as liquidity ratios, profitability, and working capital to detect early signs of financial stress or opportunity.
- Compliance Maintenance: Continue timely filing of accounts and returns to avoid penalties and maintain good standing.
Medical Analogy Summary:
DOUBLE DUCK LTD currently resembles a patient in a state of dormancy—no symptoms of distress but also no signs of active life. While stable, the company is effectively in financial stasis, requiring stimulation (business activation) and nourishment (capital and management focus) to regain full health and vitality.
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