FLOODGUARD UK LTD

Financial Health Score: B- (Stable but Inactive)

The grade of B- reflects a patient that is in no immediate danger of financial collapse—liabilities are non-existent and solvency is positive—but the business is currently in a state of suspended animation. The company has zero operational pulse and has undergone a dramatic reduction in financial mass over the last few years. It is financially stable in the sense that it cannot go bankrupt, but it is commercially dormant.

Key Vital Signs

• Heartbeat (Trading Activity): Flatline. The company is officially classified as dormant and has filed dormant accounts. There is no revenue, no trading activity, and no operational cash flow.
• Blood Pressure (Liquidity): Extremely Low. Net assets sit at a mere £1,000, consisting entirely of uncalled share capital. Cash reserves have drained from a healthy £68,306 in 2018 and £721 in 2020 down to effectively zero in recent years.
• Cholesterol (Liabilities): Clear. The balance sheet shows zero liabilities. The patient has no financial blockages or debt burdens to service.
• BMI (Financial Mass): Severely Underweight. Having shed over £163,000 in net assets between 2020 and 2021, the company is a shadow of its former self. Its current financial mass is negligible.

Diagnosis

Floodguard UK Ltd is exhibiting the classic symptoms of a business that has undergone a strategic wind-down. Looking at the medical history, this was once an active, viable entity operating in the construction of water projects and specialised construction. From 2016 to 2020, the patient maintained a healthy financial mass, with net assets ranging from £63k to £164k, supported by a functioning circulatory system of cash and liabilities.

However, around the 2020/2021 financial year, a major event occurred. The company appears to have liquidated its assets, settled its debts (which previously reached over £124k in 2020), and distributed or extracted its value, leaving only a skeletal structure of £1,000 in share capital. The patient has not traded since, entering a state of corporate hibernation. The lack of any financial toxicity (debt) is a positive, but the complete absence of commercial vitality means the business is currently not functioning for its intended purpose.

Prognosis & Recommendations

The prognosis depends entirely on the intentions of the Wallace family (the People with Significant Control). The company is on long-term life support—kept alive on the register but doing no work.

1. If the intent is to revive the business: The patient will need a massive financial transfusion. Re-entering the construction and water projects sector requires significant working capital. The directors will need to inject fresh equity or secure financing to restart the operational pulse, ensuring the company has the cash flow necessary to bid for contracts and fund early-stage operations.
2. If the intent is to remain dormant: The company is in a low-risk, low-reward state. The primary recommendation is to maintain basic corporate hygiene—ensuring Confirmation Statements and Dormant Accounts are filed on time to avoid Companies House penalties, which could act as an unnecessary infection.
3. If there is no future intent to trade: Prolonged dormancy uses up administrative resources for no return. The recommendation would be to consider a voluntary strike-off (dissolution). This would allow the entity to pass away peacefully and naturally, saving the directors the ongoing administrative burden of maintaining a company on life support.