THE BLUETITS CHILL SWIMMERS C.I.C.

Executive Summary

THE BLUETITS CHILL SWIMMERS C.I.C. shows solid financial health with positive net assets and good liquidity, reflecting stable operations typical of a micro-entity community interest company. The company should maintain cash flow vigilance and explore community-focused funding to support sustainable growth under its CIC status.

THE BLUETITS CHILL SWIMMERS C.I.C. - Analysis Report

Company Number: 12850580

Analysis Date: 2025-07-20 18:57 UTC

Financial Health Assessment of THE BLUETITS CHILL SWIMMERS C.I.C.

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1. Financial Health Score: B

Explanation:
The company shows a solid balance sheet for a micro-entity with healthy working capital and positive net assets. It operates with prudent financial management, maintaining a positive equity base and controlled liabilities. The recent slight reduction in assets and net current assets suggests some tightening of cash or investments but remains within a comfortable margin, indicating overall financial stability. However, limited fixed assets and the nature of operations (community interest company with no share capital) suggest a dependency on current assets and cash flow, which requires ongoing monitoring.

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2. Key Vital Signs

Metric	Latest Value (£)	Interpretation
Fixed Assets	550	Very low fixed assets, typical for service or community groups, little capital tied up in property or equipment.
Current Assets	58,968	Healthy level of liquid or short-term assets available.
Current Liabilities	29,196	Moderate short-term obligations, manageable relative to current assets.
Net Current Assets (Working Capital)	32,720	Positive working capital indicates good short-term financial health and ability to meet obligations without stress.
Total Assets Less Current Liabilities	33,270	Shows solid asset base after short-term debts.
Net Assets / Shareholders Funds	26,714	Positive net worth indicating the company has accumulated reserves and retained earnings sufficient to cover liabilities.

Additional Observations:

• The company has increased net assets from £21,905 (2023) to £26,714 (2024), indicating retained earnings or reserves growth despite a reduction in current assets.
• Accruals and deferred income decreased significantly from £20,839 to £6,556, reducing liabilities due beyond the immediate term and improving liquidity.
• The company is a community interest company (CIC) since November 2024, which typically limits profit distribution and focuses on social objectives, potentially impacting reinvestment and capital generation strategies.
• Employment levels (6 employees including directors) are stable, suggesting no significant operational expansion or contraction.

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3. Diagnosis

The Bluetits Chill Swimmers C.I.C. exhibits symptoms of stable financial health akin to a patient with a steady pulse and clear vital signs. Its positive working capital and net asset position reflect a company with sufficient liquidity to meet immediate obligations and a buffer of reserves, which is crucial for community interest organizations relying on membership fees, donations, or small-scale revenue streams.

The slight decrease in current assets and fixed assets could indicate cautious cash management or reduction in investments, which is not necessarily negative but merits monitoring to avoid cash flow constraints. The company’s low fixed asset base aligns with its business model focused on community sports activities rather than capital-intensive operations.

The transition to a CIC structure suggests a shift in operational focus toward social impact, which may constrain profit retention but align with sustainable community goals. Governance appears well maintained with active directors and no signs of financial distress.

No red flags such as overdue filings, director disqualifications, or insolvency indicators are present. The absence of an audit is standard for micro-entities and does not raise concern given compliance with filing requirements.

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4. Recommendations

• Maintain Healthy Cash Flow: Continue monitoring working capital closely to ensure liquidity remains robust, particularly as the company expands its community activities under CIC status.
• Enhance Financial Reporting Transparency: Consider preparing simplified profit and loss summaries for internal use to better track operational profitability and cost management, even if not filed publicly.
• Plan for Contingencies: Build a modest cash reserve to buffer against seasonal fluctuations or unexpected expenditures common in community and sports organizations.
• Leverage Social Enterprise Funding: Explore grants, sponsorships, or community funding aligned with CIC objectives to supplement income without compromising social mission.
• Governance and Compliance: Keep director appointments and company filings up to date to avoid administrative or regulatory issues that can impair financial stability.
• Asset Management: Review fixed asset utilization and consider small investments in equipment that could enhance service delivery without overstretching finances.
• Strategic Growth: Evaluate opportunities to increase membership or service offerings cautiously, ensuring any growth is supported by financial capacity.

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Executive Summary:
THE BLUETITS CHILL SWIMMERS C.I.C. demonstrates a stable and healthy financial condition with positive working capital and net assets, reflecting prudent management suitable for a micro-entity community interest company. While fixed assets are minimal, the company maintains sufficient liquidity to meet obligations and supports its operational goals effectively. Continued focus on cash flow, compliance, and strategic funding will promote ongoing financial wellness and social mission fulfillment.