ABP IREG CONSULTING LTD

Executive Summary

ABP IREG CONSULTING LTD displays a solid financial footing with strong liquidity and growing shareholder equity, indicating an ability to service debt comfortably. The company’s micro-entity status with limited fixed assets and a single director suggests a low-risk profile from a credit perspective. Ongoing monitoring of working capital and compliance is recommended to maintain creditworthiness.

ABP IREG CONSULTING LTD - Analysis Report

Company Number: 12819900

Analysis Date: 2025-07-19 11:55 UTC

1. Credit Opinion: APPROVE
   ABP IREG CONSULTING LTD demonstrates a strong and improving financial position with significant net current assets and net assets growth year-on-year. The company operates as a micro-entity with minimal fixed assets but substantial current assets relative to current liabilities, indicating good liquidity and working capital management. The director has maintained compliance with filing deadlines, showing sound governance and stewardship. No adverse indicators such as overdue filings, negative net assets, or director disqualifications are present. Given these factors, the company appears capable of meeting its short-term and likely its longer-term debt obligations.

2. Financial Strength:
   The balance sheet reflects a robust equity base, with net assets increasing from £285,819 in 2023 to £397,167 in 2024, indicating retained profitability or capital injections. Current assets have increased significantly from £321,868 to £456,569, while current liabilities have also risen but remain well covered by current assets, resulting in net current assets of £397,178. Fixed assets are minimal, consistent with a consulting business model not reliant on physical capital. The absence of long-term liabilities suggests limited gearing and financial risk.

3. Cash Flow Assessment:
   The company’s liquidity position is strong, as evidenced by a current ratio well above 1 (current assets of £456,569 vs current liabilities of £59,391). This surplus working capital provides ample buffer for meeting short-term obligations. Although explicit cash flow statements are not provided, the substantial increase in current assets implies healthy cash or receivables balances. With only one employee and low overheads, cash burn is likely minimal, supporting sustained liquidity.

4. Monitoring Points:

• Maintain vigilance on current liabilities relative to current assets to ensure ongoing liquidity.
• Monitor any potential changes in working capital components, such as receivables ageing or payables terms.
• Track any expansion in fixed assets or liabilities that may increase financial risk.
• Observe business growth and profitability trends to confirm continued equity growth.
• Confirm director and filing compliance remains consistent.