N5KOVIC LTD

Executive Summary

N5KOVIC LTD currently exhibits minimal financial health as a dormant company with no trading activity and nominal net assets of £1. While compliance is strong and governance stable, the absence of business operations implies no economic value generation or growth. To improve financial wellness, the company should commence trading, build assets, and monitor financial performance actively.

N5KOVIC LTD - Analysis Report

Company Number: 13118553

Analysis Date: 2025-07-20 13:10 UTC

Financial Health Score: D (Minimal Health)

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Key Vital Signs

Metric	Value	Interpretation
Company Status	Active	Company is legally operating
Account Category	Dormant	No significant trading activity reported
Net Assets	£1	Extremely low net worth; essentially minimal equity
Shareholders' Funds	£1	Reflects nominal capital; no retained earnings
Share Capital	£1	Nominal issued share capital
Filing Status	Up to date	No overdue accounts or returns filings; good compliance
Director	Single, Active	Single director, no misconduct reported
SIC Code	47910 (Retail via mail order/Internet)	Business activity classified but no operational data

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Symptoms Analysis

• Dormant Status: The company has registered as dormant, indicating it has had no significant financial transactions or business activities during the reported periods. This is akin to a patient in a state of rest or stasis with no active metabolism.
• Minimal Net Assets (£1): The balance sheet shows net assets of only £1, reflecting the nominal share capital and absence of operational assets or liabilities. This suggests the company is not currently generating revenue or incurring expenses.
• No Profit or Loss Data: The accounts do not report any trading results, which means there are no symptoms of profitability or distress.
• Good Compliance: The company has no overdue filings and meets its statutory requirements on time, indicating good administrative health.
• Single Director: The sole director is active and has no negative conduct records, implying stable governance at this level.

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Diagnosis

N5KOVIC LTD is currently in a dormant state, showing no operational activity or financial transactions since incorporation in 2021. This is comparable to a patient who is alive but inactive—there is no "heartbeat" of business operations, no cash flow, and no assets beyond the nominal share capital. While there are no signs of distress such as liabilities or losses, the absence of activity means the company is not generating economic value or building financial strength.

The financial health is minimal but stable, with compliance being the strongest positive indicator. The company is effectively in a state of financial hibernation, making it neither healthy from an operational standpoint nor unhealthy in terms of financial distress.

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Prognosis

If the company remains dormant, its financial health will remain static at this minimal level. Without initiating trading activities, generating revenue, or acquiring assets, the company will not build financial resilience or growth capacity. The prognosis for improvement depends entirely on whether the company activates business operations.

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Recommendations

1. Activate Trading Operations: To move out of dormancy, the company should begin business activities consistent with its SIC classification (retail via internet or mail order). This will generate cash flow and improve financial metrics.
2. Monitor Cash Flow and Working Capital: Upon activation, carefully track inflows and outflows to maintain a healthy cash flow, avoiding liquidity shortages.
3. Build Asset Base: Invest in operational assets and inventory to support sales growth.
4. Regular Financial Reporting: Transition from dormant accounts to full accounts that reflect trading results for better financial transparency and health monitoring.
5. Governance and Controls: Maintain strong director oversight to ensure compliance and strategic management as business develops.
6. Seek Advice if Scaling: Engage financial and business advisors to develop growth plans and manage risks effectively.

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