ALEX RAIL LIMITED

Executive Summary

Alex Rail Limited is a newly established, micro-entity with a healthy initial financial position reflected in positive net assets and adequate liquidity. The company’s clean compliance record and equity-funded structure support a credit approval with monitoring focused on future trading performance and cash flow stability. Given the limited operating history, cautious credit limits aligned with micro-business risk profiles are advised.

ALEX RAIL LIMITED - Analysis Report

Company Number: 15161739

Analysis Date: 2025-07-20 18:56 UTC

1. Credit Opinion: APPROVE
   Alex Rail Limited is a newly incorporated micro-entity with a clean filing record and no overdue accounts or returns. The company shows a positive net asset position and working capital, indicating initial financial stability. Given the limited operating history and small scale, credit approval is recommended with standard monitoring and limits appropriate to a micro enterprise.

2. Financial Strength:
   As of 30 September 2024, Alex Rail Limited reports net assets of £74,544 and net current assets of £74,689, reflecting a solid balance sheet for a first-year trading micro-entity. Current assets exceed current liabilities by a comfortable margin, suggesting good short-term solvency. The company’s capital structure is entirely equity-funded, with no reported borrowings or long-term liabilities, minimizing financial risk.

3. Cash Flow Assessment:
   Current assets primarily comprise cash and receivables (as no detailed breakdown is provided), sufficient to cover short-term liabilities of £47,908. Positive net current assets indicate adequate liquidity to meet immediate obligations. However, as a one-person operation with limited trading history, cash flow may be variable and should be closely monitored over time.

4. Monitoring Points:

• Future profitability and cash flow generation to assess sustainable debt servicing capacity.
• Timely filing of annual accounts and confirmation statements to maintain compliance and transparency.
• Changes in working capital structure or sudden increases in liabilities.
• Any significant changes in shareholder control or director appointments.
• Business growth indicators given current micro-entity scale and limited employee base.