Company Number: 12537076

Analysis Date: 2025-07-29 13:57 UTC

Financial Health Assessment for Jashy Limited

---

1. Financial Health Score: B

Explanation:
Jashy Limited shows solid financial footing with positive net assets and stable investment property value, indicating a fairly healthy balance sheet. However, the company carries significant current liabilities, primarily director loans, which present some liquidity concern. Overall, the financial "vital signs" suggest the company is stable but should monitor its debt levels closely to avoid symptoms of financial distress.

---

2. Key Vital Signs

Metric	2024 Value (£)	Interpretation
Net Assets	26,435	Positive and improving over 5 years, indicating growing equity and retained earnings (“healthy reserves”).
Current Liabilities	121,801	High relative to net assets, mainly director loans, which could be a “pressure point” in cash flow.
Investment Property	148,236	Stable asset held at fair value, representing a strong long-term asset base (“healthy fixed asset”).
Share Capital	10	Nominal, typical for a small private company, minimal direct capital injection.
Loans from Director	117,899	Interest-free and without fixed repayment terms, providing flexibility but also concentration risk.

Additional Notes:

• The company employs only one person (the director), indicating a very small operational scale.
• Filing and return deadlines are up to date, reflecting good compliance health.
• No audit required due to small company exemption, so financials are unaudited but prepared under UK accounting standards.
• Going concern assumption is confidently applied by the director, supported by reasonable forecasts.

---

3. Diagnosis

Jashy Limited’s financial "vitals" reveal a company with a stable asset base underpinned by investment property valued consistently over recent years. The net asset value has steadily increased from £3,188 in 2020 to £26,435 in 2024, showing retained earnings growth and prudent management of equity.

However, the "symptom" to watch is the high level of current liabilities (£121,801), almost entirely made up of director loans. While these loans are interest-free and have no fixed repayment schedule, they represent a financial obligation that could strain the company’s liquidity if they became due suddenly. The absence of other liabilities or borrowings suggests this is the primary source of external funding.

The company’s limited scale (single employee, director) means operational risks are concentrated, but also that overheads may be low. The reliance on a single asset (investment property) for value means the company’s financial health is somewhat tied to property market conditions.

Overall, Jashy Limited is financially stable but carries underlying risk related to liquidity and funding concentration. The "healthy cash flow" implied by no reported overdrafts or negative current assets is positive, but the company should guard against future "symptoms of distress" if director loans increase or property values decline.

---

4. Recommendations

• Monitor and Manage Director Loans: Consider formalizing a repayment plan or converting some loans into equity to reduce current liabilities and improve liquidity ratios. This will ease the pressure on working capital and reduce the risk of a sudden cash crunch.

• Diversify Asset Base: If possible, explore opportunities to diversify assets or income streams beyond the investment property, reducing concentration risk.

• Cash Flow Forecasting: Maintain detailed cash flow forecasts to ensure the company can meet any short-term liabilities without difficulty. This is especially important given the loan structure.

• Plan for Growth: With net assets increasing, consider whether to reinvest profits to grow operations or strengthen working capital, improving the company’s resilience.

• Maintain Compliance: Continue timely filing and maintain transparent, accurate financial records to support good governance and stakeholder confidence.

---