REALM FITNESS LTD

Executive Summary

REALM FITNESS LTD is currently a dormant company with minimal financial activity and nominal net assets, indicating no trading operations. While the company is compliant with its filing obligations, its lack of active business suggests a stable but inactive financial condition. To improve financial wellness, the company should clarify its strategic intentions, either preparing for reactivation with a solid financial plan or considering dissolution if inactive long-term.

REALM FITNESS LTD - Analysis Report

Company Number: 12597232

Analysis Date: 2025-07-29 14:14 UTC

Financial Health Assessment – REALM FITNESS LTD

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1. Financial Health Score: F (Dormant/No Active Operations)

Explanation:
REALM FITNESS LTD is classified as a dormant company with minimal financial activity. Its financial statements reflect virtually no operational transactions, showing a consistent cash balance and net assets of only £1 over multiple years. This "flatline" financial condition indicates no active business operations or revenue generation, akin to a patient in a medically induced coma—stable, but inactive.

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2. Key Vital Signs

Metric	Value (Latest Year 2025)	Interpretation
Cash	£1	Minimal liquidity; no operating cash flow
Net Assets	£1	No accumulated assets or retained earnings
Shareholders’ Funds	£1	Equity remains nominal, indicating no profit or investment increase
Account Category	Dormant	No significant financial transactions during the year
Filing Status	Up to date	Compliance with filing requirements is healthy
Director	Single, based in USA	Governance present but possibly non-resident

Interpretation:
The company’s financial "vital signs" reveal a state of dormancy rather than active business operation. The cash and net assets remaining at the bare minimum (£1) over six years indicate no business transactions—no income, expenses, or investments. The company is compliant with filing deadlines, which is a positive procedural "symptom," but operationally it shows no sign of "life."

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3. Diagnosis

Dormant Status & Lack of Activity:
REALM FITNESS LTD is effectively inactive, showing no revenue generation, expenses, or asset growth. This is typical for a dormant entity, which may be held for future use, intellectual property protection, or as a shell company without current trading activity.

Financial Health Context:

• No cash flow or working capital to assess operational efficiency or liquidity.
• No liabilities or debts reported, so no immediate financial distress signals.
• Equity remains at nominal value, indicating no business growth or retained earnings.

Potential Risks:

• Extended dormancy may lead to obsolescence of business plans or loss of market relevance if the intention is to trade in the future.
• Lack of active business may affect creditworthiness and stakeholder confidence if reactivation is planned.

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4. Recommendations

1. Clarify Business Intentions:
   Determine whether REALM FITNESS LTD is intended to remain dormant or plans to activate trading. Dormant companies can be inexpensive to maintain but should be monitored for their strategic purpose.

2. Prepare for Reactivation (if applicable):
   If reactivation is planned, consider developing a financial and business plan to inject working capital, start generating revenue, and build assets. Early assessment of cash flow needs will help ensure "healthy circulation" of funds.

3. Maintain Compliance:
   Continue timely filing of accounts and confirmation statements to avoid penalties and maintain good standing.

4. Consider Dissolution if Inactive Long-term:
   If the company is no longer required, voluntary dissolution can reduce ongoing compliance costs and administrative burden.

5. Governance Review:
   Given the director is based abroad, ensure proper governance structures are in place to manage compliance and potential business operations efficiently.

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