Company Number: 13466352

Analysis Date: 2025-07-29 12:24 UTC

1. Credit Opinion: DECLINE
   3 Sixty Bodyworx Ltd exhibits significant negative net assets and net current liabilities, which have worsened markedly over the last two years. The company’s liabilities almost triple its current assets as of the latest accounts, indicating a weak financial position and limited ability to service debt promptly. The persistent and increasing working capital deficit signals liquidity stress and potential difficulty in meeting short-term obligations. There is no evidence of profitability or retained earnings to support repayment capacity, and the absence of an income statement limits visibility on cash generation. Given these factors, extending credit would be high risk without substantial mitigating information or guarantees.

2. Financial Strength:
   The balance sheet shows a deteriorating financial position. Fixed assets net of depreciation stand at £23k, while current liabilities have surged to £193k against current assets of £79k, resulting in a net current liability of £114k and shareholders’ deficit of £91k. The negative shareholders' funds reflect accumulated losses and insufficient capitalisation. The increase in creditors year-on-year from £83k to £193k is concerning and may indicate overdue payables or reliance on trade creditors and short-term borrowings. The company remains small with limited asset backing for any borrowing.

3. Cash Flow Assessment:
   Cash at bank is critically low at just over £1,000, which is insufficient to cover even a fraction of current liabilities. Debtors have increased significantly to £57k, but without turnover and profitability data, it is unclear how quickly these debts convert to cash. The large working capital deficiency suggests ongoing cash flow constraints. The company likely depends on extended credit from suppliers or external funding to maintain operations, which is a red flag from a liquidity standpoint.

4. Monitoring Points:

• Monitor the company’s payment of trade creditors to detect any delays or defaults.
• Track debtor collection efficiency and ageing to assess cash inflows.
• Review future filed accounts for profitability trends and cash flow generation.
• Watch for changes in director or ownership structure that may affect governance or funding.
• Assess whether capital injections or restructuring efforts occur to improve net assets and liquidity.