WELHAM LTD

Executive Summary

WELHAM LTD is currently a dormant company with minimal financial activity and a static balance sheet reflecting only initial share capital. While it shows no signs of financial distress, its inactivity results in a very low financial health score. To improve its financial wellness, the company should either activate operations with a clear strategy or consider formal closure to avoid unnecessary administrative overheads.

WELHAM LTD - Analysis Report

Company Number: 13498811

Analysis Date: 2025-07-29 20:02 UTC

Financial Health Assessment for WELHAM LTD

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1. Financial Health Score: Grade E

Explanation:
WELHAM LTD is classified as a dormant company with minimal financial activity recorded over multiple years. The financial metrics show a very low asset base (£12 in cash and net assets), with no revenue, profit, or operational cash flow. While there are no signs of financial distress, the company’s financial vitality is essentially non-existent due to inactivity. This results in a low financial health score, reflecting a “hibernating” state rather than a dynamic or growing business.

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2. Key Vital Signs

Metric	Value	Interpretation
Cash at Bank	£12	Extremely low cash reserves, indicating no active trading or operations.
Net Assets	£12	Minimal net assets consistent with initial share capital only.
Shareholders’ Funds	£12	Equity equals cash and share capital; no retained earnings or losses.
Account Category	Dormant	No significant financial transactions during the reporting period.
Filing Status	Up to date	Compliance with filing deadlines indicates good regulatory health.
Company Status	Active	Legally active but not operational financially.
Control	Single Director & Shareholder owns 75-100%	Centralised control with no external shareholders.

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3. Diagnosis: Financial Condition Assessment

WELHAM LTD exhibits the classic "dormant" symptom profile: no operational revenue, negligible cash flow, and static balance sheet figures over four consecutive years. The company’s "vital signs" indicate no business activity, meaning it is not generating income, incurring expenses, or investing in assets.

This financial "hibernation" suggests the company is either held for future use, intellectual property protection, or as a placeholder for potential operations. There are no symptoms of financial distress such as liabilities, debt, or losses; however, the absence of operational data means the company currently provides no economic value or growth prospects.

The company’s compliance with filing deadlines shows administrative wellbeing but does not translate into financial health since there is no active trading.

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4. Recommendations: Path to Financial Wellness

• Activate Operations or Consider Closure: If the dormant status is intentional for future plans, maintain compliance and review activation timelines. If no future use is planned, consider formal closure to avoid administrative burdens and potential costs.
• Review Business Strategy: Determine the strategic purpose of keeping the company dormant. If intending to start trading, prepare a business plan and capital injection to build liquidity and operational capacity.
• Monitor Regulatory Compliance: Continue timely filing of accounts and confirmation statements to avoid penalties and maintain good standing.
• Financial Planning: Once active, establish robust financial controls, including cash flow management, profit generation, and asset acquisition to build a healthy financial profile.
• Director Involvement: As the sole director and shareholder, Mr. Peter Welham should regularly assess the company’s purpose and financial position to make informed decisions on the company’s future.

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