Company Number: 12642551

Analysis Date: 2025-07-20 13:21 UTC

1. Credit Opinion: APPROVE with conditions. ACR 100 Ltd is a small private limited company operating in the motor vehicle maintenance and repair sector. It has demonstrated stable financial position over recent years with positive net current assets and shareholders’ funds. However, the company reported a deficit in the latest year, indicating slight operational challenges or reduced profitability. Given its small scale and minimal fixed assets, credit exposure should be limited, and lending should be supported by ongoing monitoring of profitability and liquidity. The director appears stable and has not exhibited adverse conduct. Approval is recommended for modest credit facilities, subject to regular review.

2. Financial Strength: The company’s balance sheet shows modest but positive net assets, increasing from £2,843 in 2020 to £5,698 in 2024. Shareholders’ funds have increased overall but declined slightly in 2024 due to a loss of £979. Current liabilities are low (£1,474) relative to current assets, resulting in net current assets of £5,410, indicating adequate working capital. Fixed assets are minimal (£288), meaning the company is not asset-heavy but also not burdened by depreciating property or equipment. The company remains within the Small account category thresholds, indicating limited scale.

3. Cash Flow Assessment: Cash at bank remains fairly steady around £6,800 to £7,300 over the last three years, sufficient to cover current liabilities comfortably (cash covers current liabilities approximately 4.7 times in 2024). This implies good short-term liquidity and ability to meet immediate obligations. The increase in director’s current accounts to £1,474 in 2024 (from £37 in 2023) suggests that the director may be funding the company, which is positive for liquidity but also indicates reliance on internal funding sources. Working capital remains positive and healthy.

4. Monitoring Points:

• Profitability trends: The deficit reported in 2024 should be monitored for signs of ongoing operational weakness.
• Director’s current account balances: Continued increases may indicate cash flow pressures.
• Liquidity ratios: Maintain monitoring of cash and net current assets to ensure continued ability to meet liabilities.
• Business growth or contraction: Watch for turnover and margin changes in future filings.
• Compliance with filing deadlines: Currently no overdue filings, but continued adherence is crucial.