SPRING COLOURS LTD

Executive Summary

SPRING COLOURS LTD is a newly formed company currently dormant with minimal financial activity. Its financial health is stable with no liabilities and full compliance with filing obligations. To improve financial wellness, the company should focus on activating operations, maintaining compliance, and preparing financial controls once trading begins.

SPRING COLOURS LTD - Analysis Report

Company Number: 15222684

Analysis Date: 2025-07-29 17:41 UTC

Financial Health Assessment of SPRING COLOURS LTD

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1. Financial Health Score: Grade B

Explanation:
SPRING COLOURS LTD is a newly incorporated private limited company currently classified as dormant, with minimal financial activity reported. The company's balance sheet reflects a very modest but positive net asset position (£100), indicating an absence of liabilities and a stable equity base. While the company currently shows no active trading or operational cash flows (a "resting heart rate" typical of dormant companies), its clean slate and compliance with filing requirements signify a sound standing. However, the lack of operational data limits a full wellness check-up, so the score is a prudent B until more active financial metrics emerge.

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2. Key Vital Signs

Vital Sign	Metric/Observation	Interpretation
Company Status	Active, Dormant	No business operations yet; "asleep" but viable.
Net Assets	£100	Positive equity; company is solvent and "financially breathing."
Share Capital	£100 (100 shares at £1 each)	Fully paid share capital; no outstanding capital calls.
Filing Compliance	Accounts and returns up to date	"Healthy paperwork" shows good governance.
Director Control	Single director with 75-100% control	Clear leadership and control structure.
Industry Classification	SIC 99999 - Dormant Company	Reflects non-trading status officially recognized.

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3. Diagnosis

SPRING COLOURS LTD currently exhibits the financial "symptoms" of a dormant company: no trading activity, minimal assets, and no liabilities. This is commonly seen in companies that are newly formed but not yet operational or those intentionally kept inactive for future use.

The tiny net asset value of £100 corresponds to the initial share capital issued, indicating no financial distress or hidden liabilities. The company's "vital signs" are stable, with no overdue filings or compliance issues—a positive indicator of good corporate governance and administrative health.

Given the company's dormant status, there are no current indicators of operational profitability, cash flow health, or business growth potential to evaluate. The company's financial condition can be described as "stable but quiescent."

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4. Recommendations

• Activate Operations When Ready: To transition from dormant to active status, the company will need to start trading and generating revenue. This will introduce the need for cash flow management, profit and loss monitoring, and working capital oversight.

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

• Prepare for Financial Monitoring: Once active, implement basic financial controls (e.g., bookkeeping, budgeting, and cash flow forecasting) to monitor business health and avoid early "symptoms of distress."

• Consider Capital Needs: Evaluate if additional funding or capital injections will be required once operations begin, to ensure sufficient liquidity and working capital.

• Plan for Growth Metrics: When operational, track key metrics such as gross margin, net profit, current ratio, and debt levels to provide a comprehensive "health check" on the business.

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