PUB ACCOUNTS LTD

Executive Summary

PUB ACCOUNTS LTD demonstrates a strong and improving financial position characterized by healthy liquidity, growing equity, and effective management of assets and liabilities. The company’s financial condition is sound with no signs of distress, positioning it well for sustained stability and growth in its bookkeeping and accounting services niche. Continued prudent financial management and monitoring will help maintain this positive trajectory.

PUB ACCOUNTS LTD - Analysis Report

Company Number: 13594880

Analysis Date: 2025-07-29 13:42 UTC

Financial Health Assessment of PUB ACCOUNTS LTD

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1. Financial Health Score: A-

Explanation:
PUB ACCOUNTS LTD exhibits a strong financial foundation with steadily improving net assets and healthy liquidity ratios. The company maintains a comfortable buffer of current assets over current liabilities, indicating robust short-term financial health. Minor depreciation in fixed assets is balanced by significant growth in current assets, reflecting effective working capital management. Given these indicators, the company’s financial health is classified as very good, though vigilance is advised to sustain momentum.

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2. Key Vital Signs

Metric	2024 (£)	2023 (£)	Interpretation
Fixed Assets	8,000	8,520	Slight decrease, stable long-term asset base
Current Assets	45,635	38,200	Healthy increase, indicates good cash & receivables
Current Liabilities	2,946	7,766	Significant decrease, reducing short-term obligations
Net Current Assets (Working Capital)	42,689	30,434	Very strong, signals excellent liquidity
Net Assets (Equity)	50,689	38,954	Growing equity base, reflects retained earnings
Average Employees	2	2	Stable workforce size, consistent with micro category

Interpretation:

• Healthy cash flow symptom: The rise in current assets coupled with a sharp drop in current liabilities suggests the company is efficiently managing receivables and payables, maintaining strong liquidity to meet obligations.
• Stable fixed asset base: Fixed assets have marginally declined but remain steady, indicating no major disposals or capital expenditures, which is typical for a bookkeeping and accounting service business.
• Strong equity growth: Increasing net assets reflect retained profits or capital injections, strengthening the company’s financial resilience.
• Micro entity status: Consistent with the company’s size and filing category, the figures reflect a modest but stable business footprint.

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3. Diagnosis: Overall Financial Condition

PUB ACCOUNTS LTD’s financial health resembles a patient with a strong cardiovascular system—robust working capital and growing equity act as a healthy heartbeat ensuring operational stability and growth capacity. The company has effectively reduced its short-term liabilities, easing financial stress, and increased its liquid assets, which is a positive sign of operational efficiency and prudent management. The stable fixed assets level indicates no concerns around asset depletion or impairment.

No symptoms of financial distress such as liquidity crunch, overleveraging, or declining equity are apparent. The company’s financial posture is sound, with good prospects for maintaining solvency and funding ongoing operations. The micro-entity accounting regime suits the business scale, ensuring streamlined reporting without compromising transparency.

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4. Recommendations

• Maintain strong liquidity: Continue prudent management of receivables and payables to preserve the healthy working capital position.
• Monitor fixed assets: Keep an eye on asset condition and replacement needs to avoid future impairment or unexpected capital expenditures.
• Profit retention strategy: Consider strategies to reinvest profits or build reserves to support potential growth or cushion against market fluctuations.
• Growth monitoring: As the company grows, evaluate if transitioning to the small company accounting regime is beneficial for enhanced reporting and financing options.
• Risk management: Maintain regular cash flow forecasting and contingency plans to mitigate risks such as client payment delays or unforeseen expenses.
• Governance: Directors should continue their oversight and ensure compliance with filing deadlines and regulatory requirements to avoid penalties or reputational risks.

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