4FUT LTD

Executive Summary

4FUT LTD is a recently incorporated micro private limited company operating in financial management and bookkeeping. The company currently exhibits weak financial health with negative net worth and insufficient liquidity to cover short-term liabilities, leading to a high credit risk profile. Unless significant improvements in capital structure and cash flow are demonstrated, credit facilities are not recommended at this stage.

4FUT LTD - Analysis Report

Company Number: 14358525

Analysis Date: 2025-07-29 17:25 UTC

1. Credit Opinion: DECLINE
   4FUT LTD demonstrates a weak financial position with significant negative shareholders’ funds and current liabilities exceeding current assets by a large margin. The company is relatively new (incorporated in 2022) and operates in financial management and bookkeeping activities, but its micro-entity size and poor working capital position raise concerns about its ability to meet short-term obligations. Given the negative net worth and negative working capital, the risk of default is high without significant external support or capital injection.

2. Financial Strength:
   The balance sheet shows shareholders’ funds deteriorated from -£780 in 2023 to -£7,402 in 2024, indicating accumulated losses or capital erosion. Current liabilities have increased from £310 to £7,796, while current assets only increased slightly from £130 to £994. This results in a negative net current asset position of approximately -£6,800, reflecting poor liquidity and potential solvency risks. The company holds no fixed assets, relying solely on minimal current assets, which limits collateral value.

3. Cash Flow Assessment:
   Current assets, presumably cash and receivables, are insufficient to cover short-term liabilities, indicating strained working capital and potential cash flow difficulties. The accruals and deferred income amount to £600, which is consistent year-on-year, but overall liquidity remains inadequate. The company’s small size and negative equity suggest limited capacity to generate positive operating cash flow or absorb financial shocks.

4. Monitoring Points:

• Monitor improvement or further deterioration in net current assets and shareholders’ funds at next accounts.
• Track any capital injections or loans from the shareholder, as the director owns 75-100% and may provide support.
• Watch for timely payment of liabilities and adherence to filing deadlines to avoid compliance risks.
• Assess any operational changes or new contracts that could improve revenue and cash flow.
• Observe whether the company remains active or enters liquidation due to financial distress.