EXCEL CARE TEAM LTD

Executive Summary

Excel Care Team Ltd exhibits significant solvency and liquidity risks, with negative net assets and a working capital deficit indicating financial distress. However, the company remains compliant with statutory filings and continues operations in a stable demand sector. Further due diligence is critical to understand cash flow dynamics, business viability, and management’s strategy to address financial weaknesses.

EXCEL CARE TEAM LTD - Analysis Report

Company Number: 13110238

Analysis Date: 2025-07-20 15:17 UTC

1. Risk Rating: HIGH
   The company’s net assets and shareholders’ funds are negative (£-743 in 2024 and £-524 in 2023), indicating insolvency on a balance sheet basis. Current liabilities significantly exceed current assets, suggesting liquidity strain. These factors denote high solvency and liquidity risk.

2. Key Concerns:

• Negative net assets and working capital deficits: The company shows a worsening net current liabilities position (-£863 in 2024, up from -£524 in 2023), implying cash flow and solvency challenges.
• Minimal asset base and equity: The company holds negligible fixed assets (£120) and very low current assets (£62), with a nominal share capital (£1), limiting financial resilience.
• Single director and shareholder concentration: Miss Opeyemi Olateju Omilabu owns 75-100% shares and is sole director, raising governance and control risk without independent oversight.

3. Positive Indicators:

• Compliance with filing requirements: Accounts and confirmation statements are filed on time, indicating regulatory compliance and transparency.
• Business continuity: The company is active, not in liquidation or administration, suggesting operational continuity to date.
• Industry classification: Operating in medical nursing home activities, a sector with steady demand which could support future stability if financial issues are addressed.

4. Due Diligence Notes:

• Investigate underlying causes of negative equity and working capital deficits: Review recent cash flow statements, creditor aging, and funding arrangements.
• Assess business model viability and revenue trends: Revenue figures are missing; confirm how the company generates income and whether profits are forecasted.
• Examine director’s financial support and plans for recapitalization: Determine if the sole director plans to inject capital or restructure debts to restore solvency.
• Confirm absence of contingent liabilities or legal claims that may exacerbate financial risk.
• Evaluate operational capacity and client contracts to assess sustainability.