MEMC CONSULTANCY LTD

Executive Summary

MEMC CONSULTANCY LTD exhibits strong financial health marked by solid liquidity, growing equity, and prudent balance sheet management typical of a healthy micro-entity. The company shows no symptoms of financial distress and maintains compliance with filing requirements. To sustain and enhance financial wellness, focus on profitability monitoring, risk diversification, and strategic asset utilization.

MEMC CONSULTANCY LTD - Analysis Report

Company Number: 14026139

Analysis Date: 2025-07-20 13:41 UTC

Financial Health Assessment for MEMC CONSULTANCY LTD

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1. Financial Health Score: A-

Explanation:
MEMC CONSULTANCY LTD exhibits strong signs of financial vitality for a micro-entity. The company’s net assets and working capital have grown substantially year-over-year. It maintains a solid equity base and a healthy buffer of liquid assets over short-term liabilities, indicating robust financial stability and prudent management. The slight deduction from a perfect score is due to the limited scale and lack of detailed profit and loss data, which is typical for micro-entities but leaves some uncertainty regarding profitability trends.

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2. Key Vital Signs:

Metric	2025 Value (£)	Interpretation
Fixed Assets	5,571	Modest investment in long-term assets, showing some capital foundation.
Current Assets	58,007	Healthy level of liquid assets and receivables available.
Current Liabilities	13,821	Manageable short-term debts, well covered by current assets.
Net Current Assets (Working Capital)	44,186	Very strong liquidity position; company can comfortably meet short-term obligations.
Net Assets (Equity)	49,757	Solid equity base reflecting accumulated retained earnings and owner investment.
Shareholders’ Funds	49,757	Owner’s stake matches net assets, indicating no hidden liabilities.
Employee Count	1	Lean operation, consistent with micro-entity classification.

Interpretation:

• Healthy Cash Flow Indicator: Large net current assets suggest the company is not under cash flow stress, a vital sign of operational health.
• Growth Trajectory: Net assets have grown from £10,149 in 2022 to £49,757 in 2025, indicating sustained value creation and capital retention.
• Capital Structure: Sole ownership with full voting control by Mr Michael Pryszlak implies streamlined governance, but also concentration of risk in one individual.

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3. Diagnosis: Financial Condition and Underlying Business Health

MEMC CONSULTANCY LTD presents as a financially sound micro-entity with strong liquidity and a growing equity base. The company’s balance sheet “vital signs” show no symptoms of financial distress such as negative working capital, excessive short-term liabilities, or eroding equity. The increase in fixed assets, though modest, signals reinvestment in the business infrastructure.

The business operates in the IT consultancy sector, a field typically requiring low fixed asset intensity, which aligns with the asset structure observed. The lean employee count (1) and micro classification suggest a tightly controlled, possibly owner-operated consultancy model.

Lack of audited profit and loss data limits insight into profitability, but the rising net assets and cash equivalents imply positive operational cash flows or capital injections. There are no overdue filings or regulatory red flags, and the company is active and compliant, which are important non-financial health indicators.

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4. Recommendations for Financial Wellness Improvement

• Maintain Liquidity Discipline: Continue prudent management of working capital to preserve the healthy cash flow and liquidity buffer, preventing any future symptoms of distress.
• Profitability Tracking: Even though exempt from audit, consider internal profit and loss tracking to monitor operational efficiency and identify growth opportunities.
• Diversify Risk: With sole control by one individual, consider succession planning or additional management input to mitigate concentration risk.
• Asset Utilization Review: Periodically assess fixed asset investments to ensure they contribute positively to service delivery and business scalability.
• Prepare for Growth: If business expansion is planned, evaluate financing options early to avoid liquidity strain, leveraging the current strong balance sheet.
• Compliance Vigilance: Continue timely filing of accounts and confirmation statements to avoid penalties and maintain reputation.

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