ACE TRADER LTD

Executive Summary

ACE TRADER LTD is a micro-entity with modest net assets and positive working capital showing a stable but very small financial footprint. The company is low risk for small credit lines given no debt and positive liquidity, but credit exposure should be limited due to scale and limited financial disclosure. Continued monitoring of financial filings and operational activity is recommended to ensure ongoing repayment capability.

ACE TRADER LTD - Analysis Report

Company Number: 14564046

Analysis Date: 2025-07-29 18:15 UTC

1. Credit Opinion: APPROVE with caution. ACE TRADER LTD is an active private limited company recently incorporated in late 2022, operating in the residents property management sector. The company shows a modest but stable net asset base with positive net current assets as of the last two years. However, the micro-entity status and very limited scale of operations (no employees apart from the director) suggest a small, low-risk credit exposure. The financials do not indicate any debt burden, which is positive for repayment capacity, but the absolute size of the balance sheet and net assets is minimal. Approval for small credit facilities or trade credit is reasonable, but limits should be conservative and contingent on updated financial information.

2. Financial Strength: The balance sheet exhibits net assets of £1,392 at 31 December 2024, up from £900 in prior years. Current assets of £1,757 against current liabilities of £365 yield positive net working capital. No long-term liabilities are reported. The company’s financial strength is very limited in absolute terms due to its micro size and minimal capital. There is no sign of gearing or leverage, but also no significant reserves or equity cushion. The financial trajectory shows a slight improvement, indicating some growth or retained earnings, but overall size remains small.

3. Cash Flow Assessment: With net current assets positive and creditors low, the company appears liquid enough to meet short-term obligations. The absence of employees and presumably low overheads reduce cash burn risk. However, the accounts do not provide detailed profit and loss or cash flow statements, so the quality and sustainability of cash flows are uncertain. The micro entity exemption limits disclosure, so monitoring actual trading cash flows and timely receipts from customers will be important.

4. Monitoring Points:

   • Monitor annual accounts filing for any changes in net assets, current assets, and liabilities.
   • Watch for any increase in creditor days or late payment patterns.
   • Review any expansion in scale of operations or hiring which might impact liquidity.
   • Track director conduct and ownership as the sole PSC (75-100% ownership) concentrates control risk.
   • Confirm ongoing viability in the property management sector and any regulatory changes affecting the business.