WILLOW MOUNT BLACKBURN LIMITED

Executive Summary

WILLOW MOUNT BLACKBURN LIMITED demonstrates solid short-term financial health with improving liquidity and positive equity growth, reflecting stable business operations in the property management sector. While the company is financially compliant and well-positioned, enhancing profitability transparency and building financial buffers will strengthen resilience and support sustainable growth.

WILLOW MOUNT BLACKBURN LIMITED - Analysis Report

Company Number: 12908090

Analysis Date: 2025-07-29 19:14 UTC

Financial Health Assessment for WILLOW MOUNT BLACKBURN LIMITED

---

1. Financial Health Score: B

Explanation:
The company demonstrates solid liquidity and positive net current assets with steadily increasing shareholder equity over recent years. It operates without overdue filings and maintains a clean operational status, indicative of sound financial management. The absence of long-term liabilities and the presence of cash reserves signal good short-term health. However, the small scale of operations with limited assets and modest liabilities, along with no detailed profit and loss disclosure, slightly limits a comprehensive view, preventing an "A" grade.

---

2. Key Vital Signs

Metric	2024 Value (£)	Interpretation
Current Assets	11,728	Cash-heavy, no debtors, indicating strong liquidity ("healthy cash flow")
Current Liabilities	552	Very low short-term obligations, manageable burden
Net Current Assets	11,176	Positive working capital, good short-term financial stability
Shareholders’ Funds (Equity)	11,176	Indicates retained earnings or capital injection, growing over years
Employee Count	4	Small workforce consistent with company size and industry
Filing Status	Up-to-date	No overdue accounts or confirmation statements, showing compliance

Additional Observations:

• No long-term liabilities or fixed assets reported, typical for a service-focused company.
• Consistent modest growth in equity (from £1,044 in 2021 to £11,176 in 2024) is a "symptom" of expanding business or capital contributions.
• Cash increased significantly from £4,196 in 2023 to £11,728 in 2024, an encouraging sign of liquidity improvement.

---

3. Diagnosis

The company exhibits signs of good financial health with a "healthy cash flow" position and manageable short-term liabilities. The balance sheet shows increasing net current assets and shareholder funds, reflecting a stable growth trajectory. The absence of debtors in 2024 may indicate either efficient cash collection or limited client credit sales; this should be monitored to ensure sales are not shrinking.

Operating in the management of real estate on a fee or contract basis, the business likely has low capital intensity, explaining the absence of fixed assets. The small team size supports a lean operational model. The directors’ statement of going concern further confirms confidence in continued operations.

Potential Risks:

• Limited asset base means the company may be vulnerable to cash flow shocks.
• No detailed profit and loss data restricts insight into profitability and expense trends.
• Dependence on a small number of key personnel/directors could pose governance risks.

---

4. Recommendations

To maintain and improve financial wellness, consider the following actions:

1. Enhance Profitability Transparency:
   Prepare and share detailed profit and loss accounts to better track income sources, costs, and net margins. This will help identify cost-saving opportunities and revenue growth areas.

2. Maintain Strong Cash Management:
   Continue close monitoring of cash flow cycles. Ensure any growth in turnover is matched with effective working capital management to avoid liquidity strains.

3. Build a Contingency Reserve:
   While current cash levels are healthy, consider setting aside reserves for unexpected expenses or downturns, adding a buffer against "financial distress" symptoms.

4. Diversify Client Base:
   To reduce risk associated with dependency on few contracts or clients, look to broaden the customer portfolio.

5. Governance and Succession Planning:
   With few directors and a small team, develop succession plans and consider strengthening governance structures to maintain operational continuity.

---