LETS GO SAAS LTD

Executive Summary

LETS GO SAAS LTD is a recently established micro-entity showing early financial distress with negative net assets and working capital deficits. The company needs immediate liquidity management and strategic focus on revenue growth to restore financial health. With careful intervention, it can overcome these initial challenges and build a sustainable business.

LETS GO SAAS LTD - Analysis Report

Company Number: 14665698

Analysis Date: 2025-07-20 16:19 UTC

Financial Health Assessment for LETS GO SAAS LTD (as of 31 December 2023)

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1. Financial Health Score: D

Explanation:
A grade D reflects that the company is currently experiencing early symptoms of financial distress. The company’s net liabilities, negative shareholders’ funds, and working capital deficit are warning signs that the business has yet to achieve financial stability. While it is a micro-entity in its infancy, these vital signs suggest close monitoring and corrective action are essential to prevent further deterioration.

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2. Key Vital Signs

Vital Sign	Value	Interpretation
Net Current Assets	£-174	Negative working capital ("cash flow congestion") — current liabilities exceed current assets, indicating short-term liquidity pressure.
Net Assets (Equity)	£-674	Negative net worth ("balance sheet deficit") — liabilities surpass total assets, showing an erosion of the company’s capital base.
Shareholders’ Funds	£-674	Reflects accumulated losses or undercapitalization. Shareholders’ equity is negative, indicating the company has invested less than what it owes.
Current Liabilities	£174	Small short-term debts relative to company size; however, any inability to meet these threatens operational continuity.
Accruals and Deferred Income	£500	Unpaid expenses or income received in advance; creates a future cash flow obligation.
Employees	1	Very small workforce consistent with micro entity status and early stage of business.
Company Age	Less than 2 years	Early development stage, which typically involves initial losses and investment phases.

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3. Diagnosis

LETS GO SAAS LTD is a newly incorporated micro private limited company specializing in software and IT consultancy services. The financial "vital signs" reveal early distress symptoms: the company is currently operating with a negative net asset position and negative working capital. This situation suggests it has funded its operations through liabilities or shareholder loans rather than generating positive cash flow or profits from business activities.

The absence of a profit and loss account filing limits insights into operational profitability, but the negative net assets likely reflect accumulated start-up costs and initial losses. The presence of accruals and deferred income also indicates obligations that must be met in due course, requiring careful cash flow management.

The single director and sole shareholder, Mr. Mizanur Rahman, controls the company entirely, which may allow for streamlined decision-making but also concentrates financial risk.

In medical analogy, LETS GO SAAS LTD’s financial condition resembles a patient in the early stages of illness: vital signs are abnormal but not yet critical. Without intervention, these symptoms could worsen, leading to insolvency.

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4. Recommendations

Short-term actions ("Immediate care"):

• Improve Liquidity: Inject working capital or arrange short-term financing to cover negative current assets and meet immediate obligations.
• Cash Flow Management: Closely monitor and forecast cash flows to ensure timely settlement of accruals and liabilities.
• Cost Control: Minimise overheads and operational expenses until revenue generation improves.

Medium-term actions ("Rehabilitation plan"):

• Revenue Growth: Accelerate client acquisition and project delivery to generate positive cash inflows.
• Financial Reporting: Prepare and file a full profit and loss account to better understand profitability and cost drivers.
• Equity Injection: Consider additional capital from the shareholder or external investors to strengthen the balance sheet.

Long-term actions ("Health maintenance"):

• Profitability Focus: Move towards sustainable profits to restore positive net assets.
• Diversification: Leverage expertise in multiple IT and consultancy SIC codes to broaden revenue streams.
• Governance: Maintain strong financial controls and transparency to support growth and investor confidence.

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