KEVIN MCKEOWN CONSULTING LIMITED

Executive Summary

Kevin McKeown Consulting Limited is a financially healthy micro-entity start-up with strong liquidity and positive equity, indicating a sound foundation. While operational history is limited, the company exhibits no distress symptoms and maintains good compliance. Focused cash flow management and building profitability will be critical for future financial resilience and growth.

KEVIN MCKEOWN CONSULTING LIMITED - Analysis Report

Company Number: 15400454

Analysis Date: 2025-07-29 15:57 UTC

Financial Health Assessment Report

Company: Kevin McKeown Consulting Limited
Assessment Date: Post 31 January 2025 (financial year end)

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1. Financial Health Score: B (Good Health)

Explanation:
Kevin McKeown Consulting Limited, a micro-entity in the management consultancy sector, shows a solid financial footing at its first reporting date. The company demonstrates positive net current assets and net assets, indicating a healthy liquidity position and initial capital strength. The absence of liabilities beyond short-term creditors and no indication of distress symptoms support a good financial health grade. However, being a newly incorporated entity with a single financial year limits the depth of trend analysis, so cautious optimism is advised.

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2. Key Vital Signs

Metric	Value (£)	Interpretation
Current Assets	19,537	Represents readily available resources (cash, receivables) - healthy cash position for a start-up.
Current Liabilities	3,912	Short-term obligations that appear manageable relative to current assets.
Net Current Assets (Working Capital)	15,625	Positive working capital demonstrates sufficient liquidity to cover immediate debts - a vital sign of healthy cash flow.
Net Assets (Equity)	15,625	Positive equity reflects initial owner investment and absence of accumulated losses. Solid balance sheet foundation.
Average Employees	0	No staff costs reported yet, typical for a start-up consultancy or owner-operated business.

Additional Observations:

• No audit required due to micro-entity status, which may limit detailed external scrutiny but is standard for companies of this size.
• Director Kevin Gerard McKeown owns 75-100% shares and controls the company, implying centralized decision-making that can impact financial agility.
• Accounts filed on time, no overdue filings or penalties, indicating sound compliance and governance.

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3. Diagnosis: Financial Health and Business Condition

The company is in its infancy but exhibits the "vital signs" of a financially stable start-up. The positive net current assets indicate the company has more liquid assets than immediate liabilities, which is a strong indicator of good short-term financial health—akin to a patient exhibiting stable vital signs without signs of distress. The company's capital base is intact, with no evidence of financial strain or over-leverage.

However, the lack of employees and limited operational history means the company has yet to prove sustainable revenue generation and profitability. The absence of a published profit and loss account restricts insight into operational performance and cash flow trends. The business is in a delicate "honeymoon" stage where financial stability is maintained mainly through initial capital rather than ongoing trading profits.

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4. Recommendations: Steps to Strengthen Financial Wellness

• Monitor Cash Flow Closely: Ensure the inflow from consultancy services matches or exceeds outflows as the company grows. Healthy cash flow is the pulse of business vitality.
• Develop a Profit and Loss Statement: Even if not required for filing, internally prepare detailed P&L statements to track profitability and cost control.
• Build a Financial Buffer: As revenues grow, consider setting aside reserves to absorb unforeseen expenses or downturns, much like building immunity.
• Plan for Growth: If expanding the workforce or investing in assets, assess financing options carefully to avoid overextending liabilities.
• Maintain Compliance: Continue timely filing of accounts and confirmation statements to avoid penalties and maintain corporate good standing.
• Consider External Audit or Reviews: As the company grows beyond micro-entity status, external reviews can provide assurance and identify financial risks early.
• Governance and Risk Management: Even as a single-director company, establish basic internal controls and risk assessments to safeguard assets and reputation.

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