FAST TRACK CLAIMS LIMITED

Executive Summary

Fast Track Claims Limited maintains a positive net asset base but exhibits liquidity challenges marked by negative working capital and low cash reserves, signaling short-term financial strain. Immediate focus on cash flow management and compliance will be crucial to restoring financial wellness and supporting sustainable operations.

FAST TRACK CLAIMS LIMITED - Analysis Report

Company Number: 13788888

Analysis Date: 2025-07-20 16:49 UTC

Financial Health Assessment for FAST TRACK CLAIMS LIMITED

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1. Financial Health Score: C

Explanation:
The company shows some foundational strength with positive net assets and shareholders' funds; however, it is currently experiencing liquidity stress, as reflected by negative net current assets and low cash reserves relative to current liabilities. The overdue filing is a procedural concern but does not directly affect financial health. Overall, the company exhibits symptoms of financial strain that warrant attention.

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2. Key Vital Signs

Metric	Value (£)	Interpretation
Cash at Bank	14,265	Low cash reserves indicating limited immediate liquidity — "thin bloodstream" for daily operations.
Current Liabilities	52,835	Obligations due within one year — "short-term debts" that need to be managed carefully.
Net Current Assets	-38,570	Negative working capital — "symptom of liquidity distress" suggesting potential difficulty meeting short-term obligations.
Net Assets	51,597	Positive net worth — "healthy core" indicating that the company’s total assets exceed liabilities overall.
Shareholders’ Funds	51,597	Equity backing the company — reflects retained earnings and capital, a "solid foundation" despite liquidity issues.

Additional observations:

• Tangible fixed assets valued at £90,167 provide a solid asset base but are less liquid.
• The company employs 3 people, indicating a small operation consistent with its "Small" account category.
• Overdue accounts filing may suggest administrative delays but does not directly impair financial position.

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3. Diagnosis

Liquidity Strain Present:
The company is facing a liquidity bottleneck, as it holds only £14,265 in cash against current liabilities of £52,835, resulting in net current liabilities of £38,570. This is akin to a patient with a healthy heart (positive net assets) but weak blood flow (cash flow and working capital), meaning the business may struggle to fund day-to-day operations without external support or improved cash inflows.

Asset Structure and Capitalization:
The tangible fixed assets of £90,167 underpin the company’s operations and provide collateral value, but they are not readily convertible to cash. Shareholders’ funds of £51,597 indicate the company is not insolvent and has a buffer against losses, but the negative working capital signals that short-term obligations are not fully covered, which may lead to financial stress if not addressed.

Operational Size and Compliance:
As a small private limited company with 3 employees, Fast Track Claims Limited operates on a modest scale. Overdue accounts filing is a procedural symptom that should be corrected promptly to avoid penalties and maintain stakeholder confidence.

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4. Recommendations

• Improve Cash Flow Management:
  Prioritize accelerating receivables collection and controlling payables to ease liquidity pressure. Consider short-term financing options if needed to bridge cash flow gaps.

• Enhance Working Capital:
  Explore ways to increase current assets or reduce current liabilities—possibly renegotiating payment terms with suppliers or converting some fixed assets if feasible.

• Timely Compliance:
  Address the overdue accounts filing immediately to avoid regulatory penalties and maintain good standing with Companies House.

• Financial Monitoring:
  Institute regular financial reviews to monitor liquidity ratios closely and detect early signs of distress, ensuring swift corrective action.

• Strategic Planning:
  Develop a medium-term financial plan to balance growth investment with liquidity needs, ensuring the company's "heart and bloodstream" remain strong.

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