THE SCIENCE OF WELLNESS LIMITED

Executive Summary

The Science of Wellness Limited shows signs of liquidity strain with minimal cash reserves and tight working capital, though it remains compliant and operationally active. The company’s financial position warrants cautious monitoring, particularly regarding debtor recoverability and cash flow. Further due diligence is advised to clarify its operational sustainability and risk profile.

THE SCIENCE OF WELLNESS LIMITED - Analysis Report

Company Number: 13031586

Analysis Date: 2025-07-20 12:21 UTC

1. Risk Rating: MEDIUM
   The company exhibits marginal net current assets and very low cash reserves, which could pose liquidity challenges. However, it remains active, compliant with filing deadlines, and has no indications of insolvency or regulatory issues.

2. Key Concerns:

• Low Cash Reserves: Cash at bank has dropped significantly from £11,286 in 2022 to only £433 in 2023, raising concerns about the company’s ability to meet immediate obligations.
• Net Current Assets Marginal: Net current assets have decreased from £750 in 2022 to £372 in 2023, indicating tight working capital.
• Dependence on Debtors: A large proportion of current assets are debtors (£12,368), which may impact liquidity if collections are delayed or impaired.

3. Positive Indicators:

• Compliance: The company has filed accounts and confirmation statements on time, demonstrating regulatory compliance and good governance.
• Active Status & Single Director Control: The company is active with a single, consistent director who is also the sole person of significant control, suggesting stable management.
• Small Company Regime: Operating under the small company regime reduces administrative burden and may enhance operational focus.

4. Due Diligence Notes:

• Debtor Quality: Investigate the nature, age, and collectability of debtors to assess liquidity risk.
• Cash Flow Trends: Review detailed cash flow statements to understand the cause of the significant cash depletion and forecast future liquidity.
• Profitability and Revenue Trends: Seek additional data on turnover and profit/loss to evaluate operational sustainability, as this information is not provided.
• Director and Management Background: Confirm the experience and reputation of the director to assess operational stability.
• Potential Contingent Liabilities: Verify if there are any off-balance-sheet liabilities or pending legal/regulatory issues not disclosed.