Company Number: SC785491

Analysis Date: 2025-07-29 19:25 UTC

Financial Health Assessment for Edinburgh Cricket Academy Limited (Period ending 31 October 2024)

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1. Financial Health Score: B

Explanation:
Edinburgh Cricket Academy Limited shows a solid start with positive net current assets, positive shareholders’ funds, and a clean balance sheet reflective of a newly incorporated entity. The absence of debt beyond current liabilities and a positive working capital position indicates a financially stable foundation. However, the company is in its infancy (incorporated in October 2023) with limited financial history and no reported turnover or profit/loss figures yet, so the score reflects a healthy startup phase but with caution due to limited operational data.

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2. Key Vital Signs

Metric	Value	Interpretation
Cash at Bank	£8,967	Healthy cash reserves relative to liabilities, indicating good liquidity for operational needs.
Current Liabilities	£3,220	Low short-term obligations, manageable given cash availability.
Net Current Assets	£5,747	Positive working capital; the company can cover its short-term debts comfortably.
Total Assets less Liabilities	£5,747	Positive net assets showing a stable financial base.
Shareholders' Funds	£5,747	Equity fully covers net assets, indicating no external debt and owner-funded capital.
Employees	Nil	No staff costs yet, typical for a startup phase.
Filing Status	Up to date	No overdue accounts or returns, indicating compliance and good governance.
Company Age	1 year	Early stage; financial data limited, no profit/loss disclosed yet.

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3. Diagnosis

The financial "vital signs" indicate Edinburgh Cricket Academy Limited is currently in a healthy startup phase. The company shows "healthy cash flow" in the sense of sufficient cash reserves relative to liabilities, with no indications of financial distress or over-leverage. The positive net current assets reflect a strong ability to meet short-term obligations, which is a critical symptom of financial stability.

The absence of turnover or profit/loss data means we cannot assess operational performance or profitability yet. This is typical for a company in its first financial period, especially one in the education and training sector where initial setup costs and customer acquisition may delay revenue generation.

The company is well-capitalized by its owner (Mr. Henry George Munsey), who holds full control and voting rights, indicating a clear and concentrated ownership structure. This reduces complexity in governance but also points to the need for strong internal management as the business grows.

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4. Recommendations

• Build Revenue Streams: Focus on developing programs and services that generate turnover to transition from startup to operational profitability.
• Monitor Cash Flow: Maintain close tracking of inflows and outflows to ensure liquidity remains healthy as operational expenses increase.
• Prepare for Growth: Plan for possible hiring and expansion as customer base grows; ensure working capital remains sufficient for increased operational demands.
• Financial Reporting: As turnover emerges, maintain timely and robust accounting records including profit and loss reporting to detect early "symptoms" of financial stress or success.
• Governance and Compliance: Continue adhering to filing deadlines and regulatory compliance to avoid penalties and maintain stakeholder confidence.
• Consider External Funding: If growth accelerates, evaluate potential external financing options to scale operations while managing equity dilution.

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