OPAL WILTSHIRE AND SOMERSET LIMITED

Executive Summary

OPAL Wiltshire And Somerset Limited demonstrates solid initial financial health with positive liquidity and equity for its first year as a micro-entity. While the company has a stable foundation, its small scale and early stage status warrant cautious optimism and proactive management to ensure sustainable growth and financial resilience. Continued focus on cash flow, controls, and compliance will support its financial wellness as operations expand.

OPAL WILTSHIRE AND SOMERSET LIMITED - Analysis Report

Company Number: 15239589

Analysis Date: 2025-07-20 17:48 UTC

Financial Health Assessment for OPAL Wiltshire And Somerset Limited
(Period ending 31 October 2024)

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1. Financial Health Score: B

Explanation:
As a newly incorporated micro-entity with a short trading history, OPAL Wiltshire And Somerset Limited shows promising initial financial stability. The company maintains a positive net current asset position and shareholders’ funds, indicating a solid foundation. However, given the limited operating history and modest scale, the score reflects a cautious optimism—good health but early stage with inherent growth and operational risks.

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2. Key Vital Signs

Metric	Value (£)	Interpretation
Current Assets	81,553	Healthy level of liquid assets and receivables to meet short-term obligations.
Current Liabilities	57,813	Current debts are moderate but manageable relative to assets.
Net Current Assets	23,740	Positive working capital indicates liquidity and ability to cover short-term debts comfortably.
Shareholders’ Funds	23,740	Equity backing reflects initial capital investment and retained earnings (no accumulated losses).
Average Number of Employees	1	Small scale operation consistent with micro-entity status.
Overdue Filings	No	Good compliance with statutory filing deadlines.

Vital Sign Analysis:

• Liquidity: The company has a positive net current asset position of £23,740, a key indicator of healthy cash flow and working capital management. This means the business can cover its immediate liabilities, reducing the risk of cash shortfalls or payment delays.
• Solvency: Shareholders’ funds are positive, suggesting the company is not currently over-leveraged and has a stable capital base.
• Scale and Operations: With only one employee and micro account status, the company is in its infancy, which limits financial complexity but also implies dependence on future growth and successful business operations.
• Compliance: No overdue filings or penalties, signaling good governance and adherence to legal obligations.

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3. Diagnosis: Financial Condition and Business Health

OPAL Wiltshire And Somerset Limited is in the early stages of its lifecycle, having incorporated in October 2023 and just completing its first financial period. The company’s financial “vital signs” are strong for a start-up micro-entity: it has sufficient liquid assets to cover current liabilities and a positive equity base that reflects initial capital contributions.

The “symptoms” of the financial statements indicate no immediate distress—cash flow appears healthy, and the company is not burdened with excessive debt. The sole director and significant controller, Ms. Helen Johanna Easton, holds full ownership and voting rights, implying clear governance and decision-making structure.

However, the small scale and limited operational history mean the company is vulnerable to external shocks or operational missteps. The micro-entity exemption from audit means financial scrutiny is limited, so monitoring internal controls and financial accuracy remains important.

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4. Recommendations for Financial Wellness Improvement

• Cash Flow Management: Maintain close monitoring of cash inflows and outflows to sustain positive working capital, especially as operational activities grow. Consider establishing cash flow forecasts.
• Growth Planning: Develop a strategic plan to increase revenue streams and scale operations beyond the micro level, which will improve financial robustness and resilience.
• Financial Controls: Even without audit requirements, implement strong accounting controls and regular internal reviews to ensure accuracy and transparency.
• Risk Management: Identify potential financial and operational risks early, including customer concentration, supplier dependencies, or regulatory changes in the education sector (SIC 85600 and 85200).
• Stakeholder Engagement: As a single-shareholder entity, consider periodic external advice or independent review to provide objective assessments and governance support.
• Compliance Vigilance: Continue timely filings of accounts and confirmation statements to avoid penalties and maintain good standing.

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