LEAMORE INTERNET LIMITED

Here is the comprehensive financial health assessment for Leamore Internet Limited.

1. Financial Health Score: A

Explanation: The company is in excellent financial condition. It exhibits a robust balance sheet with substantial net assets, extremely low liabilities, and a strong cash position. There are no symptoms of financial distress, insolvency, or liquidity issues. The company’s "immune system" against economic shocks is highly resilient, though there is a slight concentration of wealth in a single asset class (property).

2. Key Vital Signs

• Liquidity & Circulation (Current Ratio):
  • Reading: Current Assets stand at £240,240 against Current Liabilities of just £24,255.
  • Interpretation: The company has approximately £9.90 in short-term assets for every £1 of short-term debt. This indicates a very healthy cash flow and excellent circulatory health. The business has more than enough liquid resources to meet its immediate obligations.
• Cash Reserves (Oxygen Supply):
  • Reading: £235,887 in cash and cash equivalents (as of Sept 2025).
  • Interpretation: The patient has a strong supply of oxygen. Cash levels have fluctuated over the past decade (ranging from £150k to £362k) but have consistently remained at a healthy level, showing the company manages its cash breathing room well.
• Structural Integrity (Net Assets):
  • Reading: Net assets of £2,295,092.
  • Interpretation: The company's structural integrity is exceptional. Shareholder funds have grown steadily from £2.2M in 2016 to £2.3M in 2024, with only a minor £31k dip in 2025. This indicates long-term accumulation of wealth and strong bone density.
• Debt Strain (Total Liabilities):
  • Reading: Total liabilities are merely £24,255, with provisions of £38,265.
  • Interpretation: The cardiovascular system is clear of blockages. The company operates with virtually no external debt pressure, meaning it is not bleeding cash to service loans or interest.

3. Diagnosis

Symptoms Analysis: While the company is named "Leamore Internet Limited," the balance sheet tells a story of a property and asset holding entity rather than an active trading business. The latest accounts reveal that the vast majority of the company's value is tied up in Investment Properties (£1,903,584) and Property, Plant & Equipment (£213,786).

Because the company utilizes small company filing exemptions, it has not filed an Income Statement (P&L). This means we cannot measure the company's "metabolic rate" (turnover or net profit margin). However, we can deduce from the retained earnings that there was a slight reduction of £30,983 in the 2025 period. This is likely a symptom of either a minor operating loss, normal asset depreciation, or a planned extraction of wealth by the director (dividends), rather than a sign of disease.

Overall Financial Condition: The patient is financially robust and highly stable. The business operates with a "low-stress" profile, unburdened by creditors or lenders. The primary characteristic of this company's health is its asset-rich nature. The two directors/employees are stewarding a large capital base with minimal operational friction.

4. Prognosis & Recommendations

Prognosis: The future financial outlook is highly stable. Barring a severe and sudden crash in the UK property market, the company's net worth is secure. The lack of debt ensures that the business will not face sudden insolvency or cash crunches. The company is well-positioned to continue operating as a stable holding vehicle for the foreseeable future.

Recommendations for Financial Wellness: 1. Asset Diversification (Preventative Care): With over 82% of the company's total asset value concentrated in a single investment property, the company's overall health is highly correlated with the real estate market. Consider whether diversifying into other asset classes might reduce this localized risk. 2. Capital Reinvestment (Physical Therapy): The company did add £107,827 in plant and machinery in 2025 while disposing of £66,980. Continue this practice of refreshing tangible assets to ensure the non-property side of the business remains modern and functional. 3. Maintain Compliance Hygiene: The company is up to date with its filings (next accounts due June 2027). Continue this excellent compliance hygiene to avoid unnecessary regulatory penalties or "fevers."