COMPANY PERFORMANCE RECORD
Word rely: 3099 terms
The INCREDIBLES – FB2A
Ngo Mai Anh Hoang My Hanh Dinh Ngoc Huyen Nguyen Hai Ly Nguyen St?lla till med ett Thu Nguyen Son Tung
1 . Introduction 2 . Liquidity and Capital structure
2 . installment payments on your 2 . 3. 2 . 4. 2 . your five. 3. 1 . 3. installment payments on your SWOT Examination Liquidity Things Capital Framework Matters Immediate options
3. Development Methods
SWOT Analysis Short-term Options
4. Man Relations 5. Investigation pertaining to Lone-term Survival and Profitability 6. Summary 7. Reference 8. Appendix
10 12 13 13 15
1 . Intro
Cyclermate Limited is a small company producing bicycles in UK. The company was set up by Lewis Llewellyn and Dai Armstrong, the two close friends in a neighborhood cycle visiting club. They produce traditional upright routine, which copy the 1940's and fifties. In nineties, the company extended to meet the need and they purchased a 15, 500 square feet warehouse with 2, 000 square feet of business office accommodation. The high quality hand- made bikes brought them great reputation and maintained high sales though they did certainly not advertise very much. However in 2010 the company provides trouble since the product sales decrease and the demand fell in spite of lower price. Several customers also complained regarding quality with the product because they acquired accidents due to front braking mechanism. We are a grouping of consultants and we are organizing this survey that will provide Cyclermate's banker an objective view about this organization. Although right now they are having overdraft and a few difficulties in selling products, we are here to make the bank observe opportunities with this company and continue purchasing it.
2 . Liquidity and Capital Structure
installment payments on your 1 . SWOT Analysis Strengths
Cyclermate has a lengthy establishment as well as reputation in producing traditional bike. The corporation has property of a large parcel worth £ 208, 500 (included £ 48, 500 of stock and £ 160, 500 of untouched land).
Cyclermate has few current assets and more noncurrent asset. This reduces the liquidity of money. There is a superb liability that may be in the form of traditional bank overdrafts. Costs are rising while cost per unit decrease to encourage clients resulting in lessen in revenue.
A fixed amount of bike is usually ensured to become sold with Cyclermate's reputation Sales may possibly increase with environment safeguard trend There is a chance of receiving investment from Dai's aunty
Banking companies do not allow ever again overdraft, hence there is a prospect of bankruptcy With competition from all other companies and e-commerce, combined with bad reputation from accidents caused by Cyclermate's bikes. revenue may still remain low
Bela Llewellyn – one of three shareholders really wants to withdraw funds from business business
2 . 2 .
The latest ratio measures whether or not a good has enough resources to pay more than its personal debt over
another 12 months. Current ratio can be calculated while follow.
In such a case, current proportion is 1 ) 85 meaning for every buck the company owes in the short term it includes £1. eighty-five available in assets that can be converted to cash in the short term. Therefore , it can be realized that current liabilities are still in control. However , the rate is a little little bit high therefore it reflects which the company is not efficiently using its current assets or its initial financing facilities. This may also indicate complications in seed money management.
Quick ratio measures the power of a company to use its near money or speedy assets to extinguish or retire its current financial obligations immediately. The higher the percentage, the greater you can actually liquidity is definitely.
(Quick Property = Current Assets – Inventory)
Below, Cyclermate includes a quick percentage of 1. 15 which means Cyclermate has enough quick property to come to be cash in in an attempt to pay current liabilities if required. Cash ratio measures a company's capacity to immediately work with cash to pay the...