WEOPTIMISE LIMITED

Executive Summary

WEOPTIMISE LIMITED is financially healthy with strong liquidity, positive net assets, and low liabilities, reflecting a stable micro-business with a good cash flow "heartbeat." The company should focus on improving debtor collections, strategically investing in growth assets, and maintaining tight cash flow management to enhance future financial wellness and scalability.

WEOPTIMISE LIMITED - Analysis Report

Company Number: 13108824

Analysis Date: 2025-07-20 12:53 UTC

Financial Health Assessment of WEOPTIMISE LIMITED

---

1. Financial Health Score: B

Explanation:
WEOPTIMISE LIMITED demonstrates a stable financial position with solid net current assets and positive net assets over the last four financial years. Its liquidity appears healthy, with cash reserves sufficient to cover short-term liabilities comfortably. However, the company’s relatively small scale, limited fixed asset base, and modest growth in net assets suggest there is room for improvement in financial robustness and operational scalability.

---

2. Key Vital Signs

Metric	Latest Figure (31 Jan 2024)	Interpretation
Current Assets	£79,345	Healthy short-term asset base supporting operational needs.
Cash Reserves	£56,667	Strong liquidity cushion, indicating good cash flow management.
Debtors	£22,678	Moderate receivables – watch collection periods for cash flow.
Current Liabilities	£3,553	Low short-term obligations, manageable and covered by cash.
Net Current Assets (Working Capital)	£75,792	Very positive working capital, indicating operational liquidity.
Net Assets / Shareholders’ Funds	£77,310	Positive equity base, showing net value retained in the business.
Tangible Fixed Assets	£1,874	Small investment in long-term assets, typical for IT services.
Share Capital	£100	Minimal share capital, typical for small private companies.
Number of Employees	1	Micro-business scale, highly reliant on key personnel.

Interpretation:
The company’s vital signs resemble a “healthy pulse”: it maintains strong liquidity with cash comfortably exceeding current liabilities, which is essential to meet immediate obligations without distress. The stable net assets and positive working capital indicate no acute financial symptoms of distress such as insolvency risks or over-leverage.

---

3. Diagnosis

WEOPTIMISE LIMITED presents as a financially stable micro-enterprise with no evident signs of distress. Its strong liquidity position, low liabilities, and positive equity base indicate a sound financial "heart" pumping steadily. However, the company operates on a very small scale, with minimal fixed assets and a very small workforce, which indicates limited operational capacity and growth potential. The slight decrease in cash from prior years suggests monitoring cash flow trends closely to avoid any future liquidity tightening.

The balance sheet shows consistency and no alarming red flags like negative net assets or escalating liabilities. The company benefits from a clean balance sheet and a strong cash buffer, but the business must ensure it converts debtors efficiently and manages costs to maintain this health.

---

4. Recommendations

• Improve Receivables Management:
  Monitor and manage debtor days closely to convert sales into cash faster, boosting liquidity and reducing working capital tied up in receivables.

• Increase Asset Investment Strategically:
  Consider investing in technology or infrastructure that can enhance service delivery and scalability, moving beyond minimal tangible assets.

• Plan for Sustainable Growth:
  Explore opportunities to grow revenue and diversify client base to build resilience and improve profitability, which will strengthen retained earnings.

• Maintain Strong Cash Flow Oversight:
  Continuously monitor cash flow to anticipate any fluctuations, especially given the small operational scale which can be more vulnerable to timing mismatches.

• Document Profit and Loss Details Internally:
  Since only the balance sheet is filed (due to small company exemptions), keep detailed internal profit and loss records to better track operational performance and inform strategic decisions.

---