SAINT SPACES LIMITED

Executive Summary

SAINT SPACES LIMITED exhibits critical financial distress with large working capital deficits and negative equity, indicating liquidity and solvency challenges. Immediate steps including cash flow management, asset monetisation, and capital replenishment are necessary to restore financial health and avoid insolvency.

SAINT SPACES LIMITED - Analysis Report

Company Number: 14070678

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

Financial Health Assessment Report for SAINT SPACES LIMITED

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1. Financial Health Score: D

Explanation:
The company exhibits significant financial distress symptoms, primarily due to substantial negative net current assets (working capital deficit) and net liabilities position. While fixed assets remain stable, the short-term obligations far exceed current assets, indicating liquidity strain. Given these vital signs, the financial health is below average and requires urgent attention.

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2. Key Vital Signs:

Metric	2024 (£)	2023 (£)	Interpretation
Fixed Assets	553,000	553,000	Stable long-term asset base; potentially property or equipment investment.
Current Assets	1,253	175	Extremely low liquid or short-term assets; suggests minimal cash or receivables.
Current Liabilities	1,071,093	807,217	Very high short-term debt; heavy immediate obligations to creditors.
Net Current Assets	-1,069,840	-807,042	Large working capital deficit; symptoms of liquidity distress ("cash flow blockages").
Net Assets (Equity)	-516,840	-254,042	Negative net worth; liabilities exceed total assets, indicating capital erosion ("financial anemia").
Shareholders’ Funds	-516,840	-254,042	Negative equity; shareholders’ stake is wiped out, raising solvency concerns.
Average Employees	0	0	No employees; possibly a holding or asset management company with limited operations.

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3. Diagnosis:

The company is showing symptoms of financial distress, particularly liquidity and solvency issues. The sharply negative net current assets reveal an inability to cover short-term debts with available liquid resources. This condition is akin to a patient having a "blocked artery" in cash flow terms, where the company cannot meet immediate financial obligations without external support or asset liquidation.

The persistent negative net assets (equity) suggest that liabilities exceed total assets, indicating "capital anemia"—a state where the business's net worth is eroded. This could be due to accumulated losses, excessive borrowing, or asset impairments.

Despite holding substantial fixed assets (£553,000), these are likely illiquid and cannot be quickly converted to cash to relieve short-term pressures. The absence of employees hints that operations are minimal or the company acts as a property holding entity.

Overall, the financial data suggests the company is not currently healthy and is at risk of insolvency if the current trends continue without remedial action.

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4. Recommendations:

• Urgent Liquidity Management:
  Consider renegotiating payment terms with creditors to extend short-term liabilities or seek bridging finance to ease cash flow pressures. Immediate "cash flow resuscitation" is essential to avoid default.

• Asset Review and Monetisation:
  Evaluate the fixed assets portfolio for potential sale or refinancing to convert illiquid assets into working capital. This can improve the liquidity "pulse" and provide emergency funds.

• Capital Injection:
  Explore options for equity funding from existing shareholders or new investors to restore positive net worth and strengthen the financial "immune system."

• Cost Rationalisation and Business Model Review:
  Given no employees and minimal current assets, reassess business activities and expenses to align with sustainable cash generation.

• Professional Financial Advice:
  Engage insolvency or restructuring experts to develop a turnaround plan and avoid potential legal consequences of continued negative equity.

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Executive Summary

SAINT SPACES LIMITED faces significant financial distress marked by severe liquidity shortages and negative net worth. The company’s inability to cover short-term debts signals urgent cash flow and solvency issues requiring immediate remedial measures such as asset monetisation and capital injection to avert insolvency risks. Without intervention, the financial health outlook remains poor.