GLUZ LIMITED

Executive Summary

GLUZ LIMITED shows excellent financial health characterized by strong liquidity, growing equity, and low financial risk typical of a micro-entity in IT services. Its balance sheet reflects a robust "healthy cash flow" position with the capacity to meet short-term obligations comfortably. Continued focus on profitability monitoring, growth investment, and governance will support a positive financial outlook.

GLUZ LIMITED - Analysis Report

Company Number: 12748240

Analysis Date: 2025-07-29 19:11 UTC

Financial Health Assessment of GLUZ LIMITED

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1. Financial Health Score: A-

Explanation:
GLUZ LIMITED demonstrates a very strong financial position for a micro-entity. Its net assets have nearly doubled over the past year, showing robust growth and healthy accumulation of equity. The company maintains excellent working capital with a high ratio of current assets to current liabilities, indicating strong liquidity and operational stability. The score A- reflects solid financial health but notes the absence of detailed profit & loss data and the very small fixed asset base, typical for a service-oriented IT company, which could be monitored for diversification.

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2. Key Vital Signs

Metric	2024 (£)	Interpretation
Fixed Assets	1,560	Minimal, typical for IT services; low capital intensity.
Current Assets	577,280	Strong cash or receivables position—healthy liquidity.
Current Liabilities	86,088	Relatively low short-term obligations.
Net Current Assets (Working Capital)	491,192	Very healthy; company can comfortably cover short-term debts.
Net Assets (Equity)	491,744	Positive and growing equity base signals financial strength.
Share Capital	100	Nominal, typical for micro-entities.
Employee Count	0	No employees recorded; possibly contractors or directors only.

Liquidity Ratios:

• Current Ratio ≈ 6.7 (577,280/86,088) — reflects excellent short-term financial health; the company has over six times more liquid assets than short-term liabilities.

Leverage:

• No long-term liabilities reported; balance sheet is equity-financed, implying low financial risk.

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3. Diagnosis: Financial Vital Signs and Symptoms

• Healthy Cash Flow and Liquidity: The large net current assets suggest the company has substantial liquid resources to meet immediate obligations, a sign of "healthy cash flow" and operational flexibility.
• Steady Growth in Equity: Net assets have increased from approximately £269k in 2023 to nearly £492k in 2024, indicating retained earnings or capital injections that strengthen the company’s financial foundation.
• Low Fixed Asset Base: Reflects low investment in physical assets, consistent with an IT services business model focused on intangible assets or service delivery.
• No Employees Recorded: Could indicate reliance on directors or external contractors, which might reduce fixed overhead costs but also implies potential dependency on key individuals.
• No Audit Requirement: Being a micro-entity, GLUZ benefits from simplified reporting standards, but this also means less detailed financial disclosures, creating a "diagnostic blind spot" for deeper profitability analysis.
• No Overdue Filings: Indicates good compliance and management discipline, important for maintaining "corporate health."
• Single Shareholder Control: One person controls 75-100% ownership and voting rights, which simplifies governance but concentrates control risks.

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4. Prognosis: Future Financial Outlook

Based on current financials, GLUZ LIMITED appears on a positive growth trajectory with strong liquidity and an expanding equity base. The absence of debt reduces financial strain and offers flexibility for future investments or scaling operations. However, the company should monitor:

• Revenue and Profitability Trends: Lack of profit and loss data limits assessment of operational profitability.
• Working Capital Utilization: The sizeable current assets might include cash reserves or receivables; efficient management is key to sustaining liquidity without tying up excess funds.
• Growth Opportunities: Investment in intangible assets (software development, IP) or human capital could enhance long-term value.
• Governance and Succession Planning: Concentrated ownership/control poses risks if key individuals depart.

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5. Recommendations for Financial Wellness

• Maintain Strong Liquidity: Continue prudent cash management to preserve the healthy working capital ratio.
• Develop Profit & Loss Transparency: Even though not required, consider internal profit and loss tracking to understand operational efficiency better.
• Investment in Growth: Explore opportunities to invest in intangible assets or expand workforce strategically to support business scaling.
• Risk Mitigation: Develop contingency plans to mitigate risks associated with single-person control and lack of employees.
• Regular Financial Review: Schedule periodic financial health assessments to catch early symptoms of distress or emerging opportunities.
• Compliance Vigilance: Maintain timely filing of accounts and confirmation statements to avoid penalties and ensure good corporate standing.

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Executive Summary