MORRIS AND SAUNDERS LIMITED

Executive Summary

MORRIS AND SAUNDERS LIMITED is currently a dormant entity with minimal financial activity and nominal net assets, reflecting a stable but inactive financial condition. The company is compliant with filing requirements but shows no operational pulse, typical of a non-trading business. To improve financial health, activating business operations and capital investment would be essential to transition towards a healthy, active state.

MORRIS AND SAUNDERS LIMITED - Analysis Report

Company Number: 13246841

Analysis Date: 2025-07-29 12:51 UTC

Financial Health Assessment for MORRIS AND SAUNDERS LIMITED

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1. Financial Health Score: D

Explanation:
MORRIS AND SAUNDERS LIMITED is classified as a dormant company with minimal financial activity over its reporting periods. The company maintains only nominal assets and equity (£1 share capital and net assets). The absence of operational revenues, liabilities, and cash flow activity indicates an inactive state. While it is not in financial distress, the lack of financial movement suggests a non-operational status rather than active business health. Hence, the financial health score reflects a dormant but stable condition with limited potential for growth or risk at this stage.

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2. Key Vital Signs

Vital Sign	Value / Status	Interpretation
Company Status	Active	Company is registered and not dissolved or in liquidation.
Account Category	Dormant	No significant trading or financial transactions during the year.
Net Assets / Shareholders’ Funds	£1	Nominal net assets; indicates no accumulated profits or losses.
Share Capital	£1	Minimal capital invested by owners, typical for dormant status.
Debtors	£1	Insignificant receivables; essentially no operational receivables.
Employees	None	No employees reported, confirming inactivity.
Filing Compliance	Up to date	No overdue accounts or confirmation statements; good regulatory compliance.
Director Appointments	Recently changed directors	Reflects possible planned changes or reorganization but no impact on financial health yet.
Industry Classification	Construction of domestic buildings	Industry typically active and capital-intensive, but company inactivity is atypical.

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3. Diagnosis: Financial and Operational Health

• Dormancy Status: The company is dormant, meaning it has not engaged in trading or significant financial transactions during the reported years. This is akin to a patient in a state of rest, showing no signs of active metabolic activity (business operations).
• Minimal Financial Movement: With net assets and share capital at £1, the company has no operational cash flow, no liabilities, and no meaningful assets or reserves. It has neither symptoms of financial stress (like debt or losses) nor signs of growth or profitability.
• Regulatory Compliance: Filing accounts and confirmation statements on time is a positive sign, showing the company is compliant with legal obligations despite inactivity.
• Director Changes: Recent change of director may be preparatory for future activity, but currently, the company shows no operational pulse.
• Industry Context: Being in the construction sector, a dormant status is unusual if the company intended active business. Dormancy may suggest the company is a shell, holding company name, or in strategic pause.

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4. Recommendations: Steps to Improve Financial Wellness

• Activate Operations: If the company is intended to be a functioning business, initiate trading activities, capital investment, and operational planning to move from dormancy toward active status. This will ‘revive the heartbeat’ of the business.
• Capital Injection: Consider increasing share capital or securing funding to support initial operations, enabling the company to build assets and working capital.
• Financial Planning: Develop a business plan and financial forecast to guide growth, manage cash flow, and ensure sustainable operations.
• Review Director Strategy: Clarify the role of new and outgoing directors and ensure leadership is aligned with the company’s objectives.
• Maintain Compliance: Continue timely filing to avoid penalties and maintain the company's good regulatory standing.
• Consider Dormant Status Suitability: If no trading is planned, maintain dormant status to minimize administrative burden but monitor for potential future activation.

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