WAAFI LTD

Executive Summary

WAAFI LTD is currently a dormant private limited company with minimal financial activity, reflected by a net asset base of £100 representing nominal share capital. While the company is compliant with statutory requirements and free of financial distress, its financial health is in a "hibernation" state due to inactivity. Moving forward, commencing trading and building financial systems will be essential to ensure a healthy financial pulse and sustainable business growth.

WAAFI LTD - Analysis Report

Company Number: 14809260

Analysis Date: 2025-07-29 20:51 UTC

Financial Health Assessment for WAAFI LTD

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1. Financial Health Score: D (Dormant Status)

Explanation:
WAAFI LTD is a newly incorporated private limited company classified as dormant, with minimal financial activity and negligible net assets (£100). As a dormant company, it has no active trading, revenue, or expenses, reflecting a state akin to "hibernation" rather than active financial health. This status limits the ability to evaluate operational financial vitality but signals no immediate distress.

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2. Key Vital Signs

Metric	Value	Interpretation
Company Status	Active, Dormant	No trading activity; minimal operations
Net Assets	£100	Minimal equity base; only initial share capital
Shareholder Funds	£100	Reflects the paid-up capital; no retained earnings
Account Category	Dormant	Exempt from detailed financial reporting
Filing Status	Up to date	No overdue filings; compliant with regulations
Director Control	Single director with 75-100% control	Concentrated ownership and management
Industry SIC Codes	Management consultancy, financial auxiliary, investment trusts, holding companies	Diverse but no active financial transactions

Interpretation:
The financial metrics are limited due to dormancy. The company shows no operational revenue or expenses, resulting in a "flatline" financial condition. The net asset of £100 is the nominal share capital, indicating no business activity or accumulation of profits/losses.

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3. Diagnosis

Underlying Business Health:
WAAFI LTD is in an inactive or "sleeping" state financially, typical of a newly formed company yet to commence trading or business operations. There are no symptoms of financial distress such as liabilities, losses, or cash flow issues because no business transactions have taken place. The company is essentially a shell at present, maintaining compliance with statutory filing requirements but not generating financial data to analyze profitability, liquidity, or solvency.

Potential Risks:

• Dormancy may mask future risks if the company delays commencing operations without restructuring plans.
• Concentrated control by a single director/shareholder may pose governance risks but is common in early-stage private companies.
• The lack of operational history means no performance benchmarks or trend analysis is possible yet.

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4. Recommendations

• Commence Trading or Strategic Planning: To move from dormancy towards active status, formulate a clear business plan to start operations or clarify the company's intended role (e.g., holding company, investment vehicle).
• Maintain Compliance Vigilantly: Continue timely filing of annual accounts and confirmation statements to avoid penalties and maintain good standing.
• Build Financial Infrastructure: Once active, implement basic financial controls and accounting systems to capture revenue, expenses, and cash flow for ongoing health monitoring.
• Risk Management: Consider appointing additional directors or advisors to diversify governance and bring broader oversight as operations commence.
• Funding Strategy: Plan capital injections or financing arrangements to support initial operations and growth phases, ensuring a healthy cash flow "heartbeat."
• Regular Financial Reviews: Once trading starts, conduct periodic financial health check-ups focusing on liquidity ratios, profitability, and working capital to detect early symptoms of distress.

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Executive Summary