RADOS ADMINISTRATION SERVICES LTD

Executive Summary

RADOS ADMINISTRATION SERVICES LTD is a newly formed management consultancy with a stable but fragile financial position, characterized by minimal cash and equity but adequate short-term liquidity. The company shows no signs of immediate financial distress but requires capital strengthening and operational development to build a robust foundation for future growth. Compliance and governance are sound, positioning the business well for its next phase.

RADOS ADMINISTRATION SERVICES LTD - Analysis Report

Company Number: 14500806

Analysis Date: 2025-07-29 12:33 UTC

Financial Health Assessment: RADOS ADMINISTRATION SERVICES LTD

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1. Financial Health Score: C

Explanation:
RADOS ADMINISTRATION SERVICES LTD is in its infancy, having been incorporated in November 2022, with its first financial statements covering a 13-month period ending December 2023. The company shows a very modest equity base (£153 net assets) and minimal cash reserves (£2,325). The financial position is stable but fragile, reflecting the early stage of operations without significant fixed assets or employees. The score "C" indicates a cautiously stable condition, but with limited financial "reserves" to absorb shocks or invest in growth.

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2. Key Vital Signs

Metric	Value	Interpretation
Current Assets	£2,325	Entirely cash, indicating liquid resources but very small in absolute terms.
Current Liabilities	£1,072	Short-term obligations that are manageable given cash on hand but leave little margin.
Net Current Assets	£1,253	Positive working capital; the company can meet short-term obligations, a good "pulse".
Net Assets	£153	Equity base is very thin, showing limited "strength" in the balance sheet.
Shareholders' Funds	£153	Reflects the net worth belonging to owners; very small, signaling an early startup phase.
Employees	0	No staff employed yet, suggesting minimal operational activity or outsourcing model.
Filing Status	Up to date	No overdue filings; good compliance "vital sign".

Interpretation: The company has a "healthy cash flow" symptom in terms of liquidity but is "underweight" on capital and operational scale.

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3. Diagnosis

• Financial Condition: The company is in a nascent phase with a clean but minimal balance sheet. It has no fixed assets, no employees, and a very small equity base. The liquidity position is adequate for current liabilities, which suggests no immediate financial distress.
• Business Activity: The zero employee count and small asset base indicate the business may be in setup or early trading, possibly operating through consultants or subcontractors. The SIC code (70229) implies management consultancy, which can have low capital needs initially.
• Risk Factors: The minimal equity and cash reserves mean the company has little buffer against unexpected expenses or downturns. The absence of an audit is typical for a small company but limits external assurance on financial robustness.
• Governance: Three directors with clear records and PSC disclosures, indicating transparent control structure. The company is compliant with filings, suggesting good governance practices.

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4. Recommendations

• Increase Equity or Reserves: To strengthen financial resilience, consider injecting additional capital or retaining profits in the business as it grows. This builds a stronger "immune system" against financial shocks.
• Build Working Capital Buffer: Aim to increase cash reserves beyond just covering immediate liabilities to support operational flexibility and growth opportunities.
• Develop Operational Capacity: Hiring key personnel or formalizing contractor agreements will provide capacity to generate revenue and scale operations beyond the founding directors.
• Financial Monitoring: Establish regular financial reviews to track liquidity and asset growth, ensuring early detection of any "symptoms of distress."
• Plan for Audit or Review: As the company grows, preparing for audited accounts will improve stakeholder confidence and help in securing funding if needed.

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