L.M DIGITAL LTD

Executive Summary

L.M DIGITAL LTD is currently a dormant company with nominal financial activity, maintaining full compliance but exhibiting no operational trading or growth. The financial health is stable but inactive, signaling a "hibernating" status rather than distress. Strategic decisions are needed to either activate the business or consider formal closure to optimize resources.

L.M DIGITAL LTD - Analysis Report

Company Number: 13305856

Analysis Date: 2025-07-29 14:12 UTC

Financial Health Assessment: L.M DIGITAL LTD

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1. Financial Health Score: D

Explanation:
The company holds a very minimal financial footprint with only £100 in share capital and cash, consistent net assets of £100 over multiple years, and no recorded trading activity as it is classified as dormant. While it maintains regulatory compliance with timely filings, its financial activity is negligible, indicating no operational revenue generation or significant asset base. This score reflects a "hibernating" or inactive financial state rather than distress or insolvency.

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2. Key Vital Signs

Metric	Value (£)	Interpretation
Cash at Bank	100	Minimal cash reserve; essentially no liquid capital
Net Assets	100	Equal to share capital; no accumulated profits or losses
Share Capital	100	Nominal initial capital; no further equity injection
Profit & Loss Activity	None	No trading or revenue reported; dormant status confirmed
Filing Status	Up to date	Compliance with Companies House filing deadlines maintained
Company Status	Active	Registered and in existence, but non-operational
Ownership Control	75-100%	Single individual control, indicating centralized decision-making

Interpretation:
The company’s vital signs indicate a "dormant patient" — it is registered and compliant but shows no signs of business life such as revenue, expenses, or growth. The financial "pulse" is flatline in operational terms but stable in compliance.

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3. Diagnosis

L.M DIGITAL LTD is currently a dormant private limited company, meaning it has had no significant financial transactions or business activity during the last financial year and likely since incorporation. The balance sheet shows only the initial share capital held as cash, with no assets or liabilities.

From a financial health perspective, this indicates:

• No active business operations: No revenue generation or expenses recorded.
• Minimal financial risk: With no liabilities or operational costs, financial distress symptoms are absent.
• Limited growth potential: Without active trading or investment, the company is not currently contributing to value creation.
• Good regulatory hygiene: Timely filing of dormant accounts and confirmation statements avoids penalties.

In medical analogy, the company is in a state of clinical remission—no active disease symptoms (financial distress) but no current vitality or growth.

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4. Recommendations

• Consider strategic activation: If there is an intention to commence or resume business activities, plan for initial capital requirements and operational budgeting.
• Monitor compliance rigorously: Continue submitting dormant accounts and confirmation statements on time to avoid legal penalties.
• Evaluate purpose and future use: Assess whether maintaining the company dormant meets strategic goals or if voluntary strike-off/liquidation might be appropriate to reduce administrative burdens.
• Prepare for future financial needs: Should business activities start, establish robust financial controls, cash flow management, and capital injection plans.
• Document clear business plans: To transition from dormancy to active operations, a detailed business plan supported by financing options will be essential.

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