FAY WELDON & SONS LTD

Executive Summary

Fay Weldon & Sons Ltd has a solid financial foundation with strong liquidity and positive equity, reflecting healthy financial "vital signs" for a young company. However, as it is in an early stage with minimal operational activity, monitoring revenue growth and cash flow will be critical for long-term financial health. Overall, the company is on a stable footing with good compliance and governance practices.

FAY WELDON & SONS LTD - Analysis Report

Company Number: 14722065

Analysis Date: 2025-07-20 14:48 UTC

Financial Health Assessment for Fay Weldon & Sons Ltd (Year Ending 31 March 2024)

---

1. Financial Health Score: B

Explanation:
Given that Fay Weldon & Sons Ltd is a newly incorporated small private company with a clean and current filing record, a positive net asset position, and a strong working capital base, it scores well on financial health. However, as a young company with limited operational history and minimal fixed assets or turnover data available, the score is tempered to a B. This reflects sound initial financial footing but also acknowledges the early stage and limited financial complexity.

---

2. Key Vital Signs:

Metric	Value (£)	Interpretation
Current Assets	33,311	Mostly cash (33,299), indicating good liquidity and ready cash reserves—healthy cash flow sign.
Current Liabilities	8,165	Low short-term liabilities, manageable obligations in near term.
Net Current Assets	25,146	Positive working capital, indicating the company can comfortably cover short-term debts.
Net Assets (Shareholders' Funds)	25,126	Positive equity base, showing company value exceeds liabilities—an important vital sign of solvency.
Called Up Share Capital	12	Nominal share capital indicating a small initial investment—common in newly formed companies.
Employees	0	No employees reported in the period, suggesting low operational scale so far.
Filing Status	Up to date	Accounts and confirmation statements filed on time—no symptoms of compliance distress.

---

3. Diagnosis:

Liquidity & Solvency:
The company exhibits a "healthy cash flow" with almost all current assets held in cash, and a positive net current asset position (working capital). This signals good short-term financial stability and ability to meet immediate obligations without strain.

Operational Scale & Activity:
With no employees and minimal debtor balances (£12), the company appears to be in a setup or dormant operational phase, or conducting very low volume business. This is typical for a company less than two years old. The nature of the principal activity—literary estate/artistic creation—may not require extensive physical assets or staffing initially.

Capital Structure & Equity:
The net assets match closely to shareholders’ funds, indicating no hidden or off-balance-sheet liabilities. The low called-up share capital is typical but means the company is primarily funded via retained earnings or other reserves, which is currently small but positive.

Compliance & Governance:
Directors and persons with significant control are clearly identified, and all filings are current. This shows good governance and no regulatory red flags.

Potential Symptoms of Caution:

• The lack of turnover data or profit and loss details means we cannot assess profitability or revenue growth trends.
• Minimal operational footprint (no employees, minimal debtors) could reflect early stage but also limits revenue potential at this time.
• Small scale makes the company vulnerable to single-event shocks or changes in funding.

---

4. Recommendations:

1. Revenue & Profit Monitoring:
   Begin rigorous tracking and reporting of revenue streams and profitability to detect early symptoms of financial stress or growth opportunities.

2. Operational Planning:
   Consider plans for scaling operations, including hiring or subcontracting, to support business growth and diversification of income.

3. Cash Flow Management:
   Maintain the healthy cash reserves as a buffer against volatility in artistic revenues, which can be irregular.

4. Financial Forecasting:
   Develop forward-looking cash flow and profit forecasts to anticipate funding needs and avoid liquidity crises as operations expand.

5. Enhanced Reporting:
   As the company grows, transition beyond exemption filings to fuller accounts with profit & loss details to improve transparency and decision-making.

6. Risk Assessment:
   Evaluate risks related to intellectual property, market demand for literary estate services, and regulatory changes affecting artistic creation businesses.

---

Summary

Fay Weldon & Sons Ltd shows a robust financial "pulse" with strong liquidity, positive equity, and good compliance health for a young company. Its current financial "vital signs" suggest stability, though the lack of operational scale and profit data means growth potential and sustainability remain to be proven. Careful monitoring of revenues and prudent cash management will be key to maintaining and improving financial wellness as the company matures.