IKB INC LTD

Executive Summary

IKB INC LTD is a recently incorporated dormant company with minimal financial activity, reflected by a nominal cash balance and net assets of £1. While currently in a quiescent state typical of new companies, it is compliant with filing requirements and well-positioned to commence trading. Activation of business operations and strategic financial planning are recommended to improve its financial health and transition out of dormancy.

IKB INC LTD - Analysis Report

Company Number: 14924264

Analysis Date: 2025-07-19 12:23 UTC

Financial Health Assessment for IKB INC LTD

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1. Financial Health Score: C

Explanation:
IKB INC LTD is a newly incorporated private limited company currently classified as dormant with minimal financial activity. The company shows a nominal cash balance and net assets of £1, reflecting only the initial issued share capital. This score reflects a neutral position—no financial distress but also no active trading or revenue generation yet. The company is in its infancy stage, so the financial health grading is constrained by limited operational data.

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2. Key Vital Signs:

Metric	Value	Interpretation
Company Status	Active, Dormant	Company is registered but not trading yet
Cash	£1	Extremely low cash, indicating no operational funds
Net Assets	£1	Represents share capital only, no retained earnings or reserves
Shareholder Funds	£1	Equity capital only, no profits or losses
Account Category	Dormant	No significant financial transactions reported
Filing Compliance	Up to date	No overdue accounts or confirmation statements
Director	Single director (Billy Parsons)	Sole control and decision-making authority
Industry Classification	Advertising Agencies (SIC 73110)	Industry sector identified, but no trading activity

Interpretation of Vital Signs:

• The company's dormant status means it has not carried out any business activity or received income.
• Cash and net assets correspond only to the initial share capital, showing no operational cash flow or financial transactions ("healthy cash flow" is absent but expected for a dormant entity).
• Compliance with filing deadlines indicates good administrative health and governance discipline.
• The presence of a single director and sole shareholder gives centralized control but also means limited managerial capacity at this stage.

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3. Diagnosis:

IKB INC LTD is at the earliest stage of its lifecycle, currently dormant with no trading or financial operations. The "symptoms" of its financial state are typical for a newly formed company that has yet to commence business activities. There are no signs of financial distress or obligations, but equally, no evidence of growth or revenue generation. The company’s balance sheet is minimal, reflecting only the initial capital contribution of £1.

The company’s financial "vital signs" indicate it is in a quiescent state awaiting activation. This is not unusual or problematic but does mean that financial health cannot be judged on profitability or liquidity metrics at this point.

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4. Recommendations:

• Activate Trading Operations: To move from dormancy, the company should initiate trading activities aligned with its advertising agency classification to generate revenue and build financial history.
• Maintain Compliance: Continue timely submission of statutory filings to avoid penalties and maintain good standing with Companies House.
• Build Financial Records: Once trading begins, ensure robust bookkeeping to track cash flow, assets, liabilities, and profitability to enable comprehensive financial health monitoring.
• Cash Flow Management: Plan for adequate initial working capital to avoid liquidity "symptoms" such as cash shortages when operational activities commence.
• Consider Strategic Planning: Develop a clear business plan with financial projections to guide the company through its startup phase and attract potential investment or financing.
• Governance: With a single director and shareholder, consider the benefits of additional governance support or advice, such as appointing a company secretary or financial advisor.

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