EAGLE VISION SECURITY LTD

Executive Summary

EAGLE VISION SECURITY LTD has experienced a sharp decline in financial health as reflected by its negative working capital and net assets in 2024, signaling liquidity challenges and potential solvency risks. Immediate focus on cash flow management, liability restructuring, and operational review is critical to prevent further deterioration and restore financial stability.

EAGLE VISION SECURITY LTD - Analysis Report

Company Number: 12753791

Analysis Date: 2025-07-29 12:49 UTC

Financial Health Assessment: EAGLE VISION SECURITY LTD

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1. Financial Health Score: D

Explanation:
The company exhibits a critical imbalance in its current financial position as of the latest financial year ending 31 July 2024. While it previously showed stable net current assets and net assets, the 2024 accounts reveal a substantial negative working capital and net asset position (-£260), indicating financial distress. This score reflects warning signs that require immediate attention to prevent further deterioration.

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2. Key Vital Signs

Metric	2024 (£)	2023 (£)	Interpretation
Current Assets	100	100	Minimal liquid resources, unchanged
Current Liabilities	360	0	Sharp increase in short-term debts
Net Current Assets (Liabilities)	-260	100	Shift from healthy working capital to deficit
Total Net Assets	-260	100	Net liabilities outweigh assets
Shareholders’ Funds	-260	100	Negative equity, signaling losses
Employees	0	0	No staff, possibly limited operations

Interpretation:

• Working capital is a vital sign akin to a company's "pulse" for day-to-day operations. The sudden shift to negative net current assets indicates the company may struggle to meet its short-term obligations, a symptom of financial distress.
• The negative net assets and equity ("capital and reserves") suggest accumulated deficits or liabilities exceeding assets, similar to a patient losing vital reserves.
• The company's cash and equivalents are very low (£100), and with current liabilities tripling to £360, liquidity risk is significant.
• No employees suggest the company might be operating with limited capacity or possibly dormant operations despite active status.

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3. Diagnosis

EAGLE VISION SECURITY LTD displays critical symptoms of financial strain in its latest fiscal year. The abrupt rise in current liabilities without corresponding asset growth has resulted in a negative working capital and overall net liabilities. This is analogous to a patient whose vital fluids have depleted while toxins build up, signaling distress.

The company has deteriorated from a stable financial position in previous years to one where it may face difficulties in settling debts as they fall due. The absence of employees and minimal asset base may indicate limited business activity or challenges in generating revenue.

This financial profile suggests the company is currently in a "financial distress phase", with risks including insolvency if remedial measures are not taken promptly.

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4. Recommendations

To restore financial health and avoid progression toward insolvency, the company should consider the following actions:

• Immediate Cash Flow Management:
  Prioritize collecting receivables, reducing unnecessary expenses, and negotiating payment terms with creditors to ease short-term liquidity pressure.

• Review and Restructure Liabilities:
  Assess the nature of current liabilities (£360) to explore options for refinancing, extending payment deadlines, or converting short-term debts into longer-term arrangements.

• Business Activity Evaluation:
  Given zero employees and minimal current assets, review operational viability. If the business is inactive, consider formal dormant status or restructuring; if active, explore ways to generate revenue and improve asset base.

• Seek Professional Advice:
  Engage with financial advisors or insolvency practitioners early to explore turnaround strategies and prevent legal consequences.

• Monitor Financial Reporting:
  Ensure timely and accurate filings with Companies House to maintain compliance and transparency.

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