Company Number: 13856328

Analysis Date: 2025-07-20 13:50 UTC

Financial Health Assessment for PERCUSSA RESURGO LTD

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1. Financial Health Score: B

Explanation:
PERCUSSA RESURGO LTD demonstrates solid financial health for a micro-entity in its early years, showing growth in net assets and working capital. The company maintains positive equity and a healthy buffer between current assets and liabilities, indicating good short-term liquidity. However, with limited fixed assets and no employees reported, it is still in a nascent stage and somewhat reliant on the director's management and control. The absence of profit and loss detail limits a more nuanced profitability assessment. Overall, the company is financially stable but still developing its operational scale.

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2. Key Vital Signs

Metric	31-Jan-2024	31-Jan-2023	Interpretation
Fixed Assets	£1,895	£1,050	Small investment in long-term assets; slight growth.
Current Assets	£19,078	£19,267	Consistently strong liquid resources.
Current Liabilities	£7,812	£12,949	Significant reduction in short-term debts; positive sign.
Net Current Assets	£11,266	£6,318	Healthy working capital; improved liquidity.
Total Assets less Current Liabilities	£13,161	£7,368	Overall asset coverage exceeding liabilities; improving position.
Net Assets / Shareholders’ Funds	£11,960	£6,168	Equity growth reflects retained earnings or capital injection.
Employees (average)	0	0	No employees besides director; small operational scale.

Interpretation:

• Healthy Cash Flow Indicator: The company has a strong positive working capital (net current assets), meaning it can comfortably cover short-term obligations without liquidity strain.
• Growth in Equity: Nearly doubling net assets year-over-year suggests the company is either retaining earnings or receiving additional capital, strengthening its financial foundation.
• Low Fixed Assets: Minimal investment in fixed assets indicates a business model focused on services rather than capital-intensive operations, consistent with freelance security services.
• No Employee Burden: Operating without employees reduces fixed overhead costs but may limit growth capacity.

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3. Diagnosis: Overall Financial Condition

PERCUSSA RESURGO LTD exhibits symptoms of financial stability and early-stage growth. The positive trend in net assets and reduction in current liabilities signal improving financial health and prudent management of resources. The company’s core activity—freelance security services—likely involves low fixed costs and capital requirements, explaining modest fixed assets and absence of employees. The sole director holds full control, which can be an advantage for agile decision-making but also represents concentration risk.

The lack of detailed profit and loss data (due to micro-entity filing exemptions) is a diagnostic blind spot; however, the balance sheet suggests no immediate distress or liquidity issues. The company’s financial "vital signs" show no symptoms of financial distress such as negative working capital, excessive debt, or declining equity.

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4. Recommendations: Specific Actions to Improve Financial Wellness

• Monitor Cash Flow Regularly: Maintain vigilant oversight of cash inflows and outflows to preserve the healthy liquidity position and avoid cash crunches, especially important as the company grows.
• Consider Scaling Operations: Introducing employees or subcontractors could allow business growth but should be balanced with careful cost and cash flow management.
• Build Fixed Assets Strategically: Consider investing in relevant equipment or technology that can increase service delivery efficiency and competitive advantage.
• Enhance Financial Transparency: Although micro-entity filing exemptions apply, consider preparing internal profit and loss statements to better understand profitability and inform strategic decisions.
• Risk Management: Diversify client base and income streams to reduce dependence on few contracts or the director’s personal effort, lowering operational risks.
• Governance and Compliance: Ensure timely filing of statutory accounts and confirmation statements, which so far are up-to-date, to maintain good standing and avoid penalties.

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