ADVENTURE IN LEARNING LTD

Executive Summary

Adventure In Learning Ltd is a newly formed micro-entity with a positive but modest balance sheet and adequate liquidity. While there is no extensive trading history, the company currently shows no adverse financial indicators. Credit approval is recommended on a conditional basis, with close monitoring of future financial performance and compliance filings to mitigate the risk inherent with start-up businesses.

ADVENTURE IN LEARNING LTD - Analysis Report

Company Number: 15168552

Analysis Date: 2025-07-20 19:05 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Adventure In Learning Ltd is a newly incorporated micro-entity with limited operating history (incorporated in September 2023). The company shows a modest but positive net asset position (£13,993) and net current assets of £14,084, indicating an initial buffer to meet short-term obligations. However, given it has only been trading for approximately one year with limited financial history and no profit and loss data filed, credit approval should be conditional on monitoring future trading results and cash flow generation. The company’s small scale and early stage present inherent risk, but no red flags such as overdue filings or director disqualifications are noted.

2. Financial Strength:
   The balance sheet as of 30 September 2024 shows:

• Fixed assets of £2,339 — minimal investment in long-term assets consistent with a start-up.
• Current assets of £23,303 mainly consisting of cash and receivables, providing liquidity.
• Current liabilities of £7,719 leading to positive net working capital of £14,084.
• Long-term liabilities of £2,430, resulting in net assets of £13,993.
  This modest but positive equity base and working capital position indicate the company is solvent and has some financial resilience, though the scale is small.

3. Cash Flow Assessment:
   Current assets exceed current liabilities by a comfortable margin, suggesting liquidity is adequate to cover short-term payables. The absence of profit and loss data limits assessment of operating cash flow, but with only 3 employees and a micro-entity status, operating cash burn is likely modest. Cash management and collection of receivables should be closely monitored given the early stage of operations.

4. Monitoring Points:

• Timely filing of future accounts and confirmation statements to maintain compliance.
• Profit and loss statements to assess profitability and cash flow trends.
• Changes in working capital and any increase in debt levels, particularly long-term liabilities.
• Continued stability and conduct of directors, noting that one director resigned in December 2024.
• Business growth indicators such as client acquisition and revenue trends once available.