Company Number: 13444370

Analysis Date: 2025-07-20 16:15 UTC

Financial Health Assessment for HYPERVIBE INTERNATIONAL LIMITED

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1. Financial Health Score: D

Explanation:
The company exhibits troubling signs in its financial statements, particularly a negative net current assets position and negative net assets (shareholders' funds) as of the latest reporting period. While there is a steady increase in current assets, the growth in current liabilities has been faster, creating a liquidity strain. This reflects an unhealthy cash flow situation and financial distress symptoms, hence a low grade.

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2. Key Vital Signs

Metric	Latest (2024)	Interpretation
Current Assets	£107,782	Moderate level of short-term assets to cover liabilities.
Current Liabilities	£150,742	High short-term obligations, exceeding assets.
Net Current Assets	-£42,960	Negative working capital – a key symptom of liquidity issues.
Net Assets / Shareholders' Funds	-£43,960	Negative equity indicates financial distress and potential insolvency risk.
Employee Count	1 (average)	Very small operation, minimal staff overhead.
Account Category	Micro	Subject to minimal filing and reporting requirements.

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3. Diagnosis

The financial “vital signs” reveal symptoms of distress:

• Liquidity Crisis: Negative net current assets (-£42,960) mean the company does not have enough short-term assets to cover its short-term liabilities. This is a critical warning sign akin to a patient whose vital signs show insufficient blood flow — here, it’s insufficient cash or receivables to meet immediate debts.

• Negative Net Worth: The company’s net assets have deteriorated from £1,291 in 2021 to -£43,960 in 2024. This suggests accumulated losses or liabilities exceeding assets, comparable to a weakening immune system in a patient, indicating chronic financial issues.

• Growth but Imbalance: While current assets have grown steadily over 4 years (£68k to £108k), liabilities have grown faster (£68k to £151k), worsening the company’s financial health and exacerbating the liquidity problem.

• Operational Scale: With only one employee and micro-entity status, the company is small and likely vulnerable to cash flow fluctuations and external shocks.

• No Fixed Assets: Absence of fixed assets (property, equipment) may limit borrowing capacity and collateral availability for funding.

Overall, the company’s financial health is poor with signs of ongoing distress, and without corrective action, the prognosis is guarded.

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4. Recommendations

• Urgently Improve Liquidity:

  • Renegotiate payment terms with creditors to extend deadlines.
  • Accelerate debtor collections to improve cash inflows.
  • Consider short-term financing options to cover immediate liabilities.

• Cost Management:

  • Review and reduce unnecessary expenses to preserve cash.
  • Evaluate if current liabilities include unnecessary or avoidable costs.

• Capital Injection:

  • Consider new equity investment or director loans to strengthen net assets and restore positive shareholders’ funds.

• Financial Monitoring:

  • Implement regular cash flow forecasting and working capital reviews to detect and prevent future liquidity crises.

• Strategic Review:

  • Assess business model viability given current financial strain.
  • Explore diversification or new revenue streams to stabilize income.

• Professional Advice:

  • Engage a financial advisor or insolvency practitioner early if the liquidity crisis worsens to consider restructuring options before insolvency risk escalates.

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Executive Summary

HYPERVIBE INTERNATIONAL LIMITED is showing clear signs of financial distress with negative working capital and shareholders’ funds, indicating liquidity and solvency challenges. Immediate actions to improve cash flow, manage costs, and strengthen capital structure are essential to avoid escalating financial risks and ensure business continuity.