LEARNING ACADEMY EDUCATION LIMITED

Executive Summary

LEARNING ACADEMY EDUCATION LIMITED is a micro-sized, very early-stage education business with minimal revenues and virtually no net assets. The financial health is fragile, resembling a business in survival mode without a financial buffer. To improve, it must focus on increasing turnover, building working capital, and managing costs carefully to establish a foundation for sustainable growth.

LEARNING ACADEMY EDUCATION LIMITED - Analysis Report

Company Number: 13267559

Analysis Date: 2025-07-29 13:46 UTC

Financial Health Assessment of LEARNING ACADEMY EDUCATION LIMITED

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1. Financial Health Score: Grade D

Explanation:
The company shows minimal financial activity and almost no net assets beyond a nominal £1 share capital. The turnover is very low and inconsistent (just over £5k in the latest full year). The financial "vital signs" indicate a business in a fragile state with limited operational scale and practically no working capital to support growth or absorb shocks. This places LEARNING ACADEMY EDUCATION LIMITED in the "distressed but not yet critical" zone, warranting close monitoring and active management.

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2. Key Vital Signs:

Metric	Latest Figure (2024)	Interpretation
Turnover (Revenue)	£5,089 (2023 year)	Extremely low revenue for an active company; indicates very limited sales or services rendered.
Net Assets / Shareholders Funds	£1	Nominal equity base; no retained earnings or reserves. Very weak financial cushion.
Total Assets Less Current Liabilities	£1	Working capital effectively zero; no liquidity buffer.
Employee Count	1	Sole employee (likely director/owner); very small scale operation.
Filing Status	Up to date	No overdue filings; compliant with Companies House requirements.
Account Category	Micro	Smallest statutory regime; minimal disclosure and filing obligations.

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3. Diagnosis: Financial Condition Analysis

LEARNING ACADEMY EDUCATION LIMITED exhibits symptoms typical of a micro-startup or dormancy phase business. The "vital signs" reveal:

• Minimal operational scale: Revenue is negligible, suggesting either the company is at a very early stage or is not actively generating substantial income.
• No financial buffer: The net asset position is effectively just the nominal share capital of £1, indicating no retained profits or reserves. This means the company has no cushion against unexpected expenses or downturns.
• Liquidity risk: With total assets less current liabilities at £1, the company has practically no working capital. This "cash flow" symptom points to potential difficulties in meeting short-term obligations if they arise.
• Single-person operation: Only one employee/director, which may limit capacity for growth and operational resilience.
• Compliance is good: Filing deadlines are met, which is a positive sign that statutory obligations are being respected.

Overall, the financial health resembles a business in “survival mode” with very limited resources and growth indicators. The company is not showing signs of distress such as losses or liabilities beyond assets, but it is also not demonstrating vitality or growth.

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4. Recommendations:

To improve financial wellness and move from fragile to healthy status, the company should consider the following steps:

• Increase Revenue Generation: Develop and implement a clear sales or service growth plan. Even micro-businesses benefit from steady, incremental revenue increases to build a financial cushion.
• Build Working Capital: Aim to accumulate reserves by retaining profits or injecting additional capital. This will improve liquidity and provide a buffer against operational risks.
• Cost Control and Efficiency: Monitor and manage all expenses tightly to avoid cash flow strain given the limited revenue base.
• Explore Funding Options: Consider small business loans, grants, or equity investment to support growth and working capital needs.
• Strategic Review: Given the micro size and minimal activity, review the business model and market positioning to ensure viability and potential scalability.
• Professional Advice: Engage with financial advisors or business mentors to develop a tailored growth strategy and financial management plan.

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