UTOM LTD

Executive Summary

UTOM LTD is financially stable with a strong equity base and positive working capital, reflecting good liquidity and no financial distress in its first year. The company shows promising "vital signs," but its early stage means operational profitability and cash flow performance remain untested. Focused efforts on revenue generation, cash flow management, and strategic growth will be key to sustaining and improving financial health.

UTOM LTD - Analysis Report

Company Number: 15055562

Analysis Date: 2025-07-20 15:59 UTC

Financial Health Assessment for UTOM LTD (As of 31 August 2024)

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1. Financial Health Score: B

Explanation:
UTOM LTD demonstrates a solid financial footing typical of a micro-entity in its first year of operation. The company shows a healthy net asset position and positive working capital, indicating good liquidity and solvency. However, limited operational history (first year) and lack of revenue or profit data restrict a higher rating. The "B" grade reflects a financially stable but nascent business with room to build operational momentum.

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2. Key Vital Signs

Metric	Value (£)	Interpretation
Current Assets	29,667	Adequate short-term assets (cash, receivables) to cover liabilities
Current Liabilities	5,717	Low short-term obligations
Net Current Assets	23,950	Positive working capital — a healthy "cash flow pulse" showing liquidity
Total Net Assets	24,050	Strong equity base relative to size; no long-term debt reported
Share Capital Not Paid	100	Nominal capital contribution pending; not a concern here
Employees	0	No staff expenses recorded yet; business likely in setup or owner-operated phase

Interpretation:

• The positive net current assets (working capital) indicate the company can comfortably meet its short-term debts, a sign of good financial health akin to a healthy heartbeat in a patient.
• The net assets equal to shareholders’ funds signals that the business is currently financed fully by equity and not burdened by debt, reducing financial risk.
• The absence of employees suggests the company is either owner-operated or in a preparatory phase, typical for a micro start-up.

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3. Diagnosis: Financial Condition and Business Health

UTOM LTD is a newly incorporated micro-entity specializing in general medical practice activities, currently under the stewardship of a single director and sole shareholder who is also a practicing doctor. The financial "symptoms" show a clean and uncomplicated balance sheet with no debt and positive liquidity. This is akin to a patient with stable vital signs but limited history to predict long-term health.

No operational losses or profit data are yet available, and no staff are employed, which suggests the business is in an early stage, possibly focusing on setup, licensing, or initial patient acquisition. The company is not under any financial distress or filing overdue, indicating compliance and regulatory health.

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4. Recommendations: Steps to Strengthen Financial Wellness

• Revenue Generation & Profit Tracking: Begin capturing and monitoring income and expenses carefully to build a clear financial picture. This will reveal the "symptoms" of operational performance and profitability.
• Cash Flow Management: Maintain healthy working capital by managing receivables and payables efficiently to ensure liquidity remains strong as patient services expand.
• Consider Staff Planning: If growth plans include hiring, forecast payroll impact on cash flow and ensure sustainable operational funding.
• Build Reserves: Accumulate retained earnings to strengthen shareholder funds, providing a financial buffer against unexpected costs or downturns.
• Compliance Vigilance: Keep up with timely filing of accounts and confirmation statements to avoid penalties and maintain good standing.
• Strategic Growth Planning: As a medical practice, explore partnerships, patient acquisition strategies, and potential diversification to increase revenue streams steadily.
• Audit Preparation: Although currently exempt, consider preparing for audit requirements as the business grows beyond micro thresholds to ensure transparency and investor confidence.

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