FACTORWEB LIMITED

Financial Health Assessment: FACTORWEB LIMITED

1. Financial Health Score: F (Terminal Condition)

Factorweb Limited receives a grade of F. The business is not in a state of financial distress; it is in a state of financial cessation. The patient has, unfortunately, flatlined. With the company actively in liquidation and holding negligible assets, this is a terminal case. The "Active" status at Companies House is merely a legal heartbeat maintained by the formal liquidation process, not an indicator of ongoing business health.

2. Key Vital Signs

• Pulse (Cash & Current Assets): Barely registering. The company holds exactly £2 in current assets (2024: £2). This is a complete flatline compared to historical figures, representing a patient with no blood flow.
• Blood Pressure (Net Assets & Liabilities): Zero pressure. Net assets sit at a stagnant £2. There are no current liabilities, but this is not a sign of health; rather, it indicates that all creditors have either been settled or written off during the wind-down, leaving a shell with no obligations and no resources.
• Organ Function (Trading Activity): Inactive. The latest accounts confirm the average number of employees during the year was NIL. The company has no principal activity described. The "organs" of the business have ceased functioning.
• Compliance Health (Filing Status): Infected. While the accounts are up to date, the Confirmation Statement is overdue. This is a common symptom of administrative neglect in a company that is winding down, but it can attract regulatory penalties if not addressed.

3. Diagnosis

Terminal Decline and Active Liquidation

The medical history of Factorweb Limited reveals a business that was once robust. In 2011, the company had total assets of £330,763 and net assets of £290,884. By 2013, total assets peaked at £471,016. However, the patient suffered a dramatic and sustained decline over the subsequent decade, with assets shrinking to just £1-£2 by 2022 and remaining at that level since.

The current data confirms the company is in liquidation. The presence of negligible £2 assets across the board suggests the business has been fully stripped down—assets sold, debts cleared or written off, and all operations ceased. The £2 remaining likely represents the minimum nominal share capital required to keep the legal entity technically alive while the liquidation process concludes. The nature of business (Marine aquaculture) listed appears to be a historical artifact rather than a current practice.

4. Recommendations

As the company is in liquidation, recommendations for business recovery are no longer applicable. The focus must shift to ensuring a clean and compliant closure:

1. Cure the Compliance Infection: The overdue Confirmation Statement must be filed immediately. Although the company is winding up, failing to file can result in fines and potential legal action against the directors, complicating the liquidation process.
2. Coordinate with the Liquidator: Directors Christopher Smith and Richard Smith must ensure they are fully cooperating with the appointed liquidator, providing all necessary documentation and access to records to facilitate the final dissolution.
3. Prepare for Dissolution: Once the liquidator has concluded their work, ensure all final paperwork is filed with Companies House to formally dissolve the company, removing it from the register and concluding all legal obligations.